The ruling Democratic Party of South Korea intends to pass a bill that could delay the taxation of cryptocurrencies in the country. Officials claim that there is no proper framework for taxing digital currency.

Party members are against taxation of gains from crypto investments. Recent reports claim that the Party has even approved a bill to temporarily suspend the 2022 legislation.

Non Woong Rae, 64 year-old, is part of the Democratic Party. He said the Asian nation does not have an organized plan for implementing a taxing system. The delay of the initiative is unavoidable.

Deferral of taxation for virtual assets will not be an option in a case where the appropriate taxation infrastructure has not been prepared.

Woong-Rae further stated that the Ministry of Finances’s policy of enforcing tax over virtual assets would fail because it is difficult to track overseas operations with crypto or P2P transactions.

According to Woong-Rae, the Democratic Party will seek to solve the problem by taking it up with the National Assembly.

The relevant legislation regarding tax deferrals and real tax cuts is currently in the waiting committee. We intend to actively convince other legislators so they can be addressed in the regular National Assembly.

Hong Nam-Ki, South Korea’s finance Minister seems keen to implement the new taxation legislation at the start of 2022. This was something he predicted in the spring of this year. It’s now just a question of when it will happen and not if.

It’s inevitable; we will need to impose taxes on gains from trading of virtual assets.

Although the Korean authorities are skeptical about digital assets, the vast majority of people have high hopes for cryptocurrencies.

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