According to PANews, South Korean political parties have reached an agreement to cancel the planned financial investment income tax, and the cryptocurrency capital gains tax originally scheduled to be implemented in 2025 may be postponed to 2027.
An official from the Democratic Party of Korea said that it is necessary to postpone the capital gains tax on cryptocurrencies in order to maintain fairness. The South Korean government proposed a tax law amendment in July that included postponing the capital gains tax on cryptocurrencies.
The passage of the amendment is uncertain as the Democratic Party opposes other tax cuts from the government. Min Byoung-dug, a member of the Democratic Party, supports postponing the taxation, arguing that legal recognition of the virtual asset industry is needed first.