1. Cryptocurrency Taxation in Korea
Taxation of cryptocurrency profits is in effect in Korea. The main points are outlined below.
💡 Tax Essentials
Taxable income: Gains from cryptocurrency disposals and exchanges.
Tax rate: 22% as other income, including local tax.
Basic allowance: KRW 2.5 million per year.
Filing period: The comprehensive income tax return each May.
2. Taxable Transactions
- Selling for Korean won — Direct realization of gains.
- Exchanging one coin for another — Gains are taxed at the time of exchange.
- Trading on overseas exchanges — Taxed in the same way.
- Airdrops and hard forks — Fully taxable with an acquisition cost of KRW 0.
3. Tax-Saving Strategies
- Use the KRW 2.5 million basic allowance — Up to KRW 2.5 million per year is exempt.
- Sell coins at a loss — Offset losses against gains to reduce tax.
- Hold for the long term — No tax until a sale.
- Distribute holdings among family members — Each receives a KRW 2.5 million allowance; watch for gift tax.
4. Reporting Overseas Exchanges
⚠️ Caution
Overseas exchange accounts, including Binance, must also be reported.
If combined overseas financial account balances exceed KRW 500 million, a separate overseas financial account report is required.
Failure to report can result in fines and additional tax.
5. AI Trading and Taxes
Profits from automated AI trading are taxed in the same way. NOONOO TRADING automatically maintains trading records that can be referred to when filing taxes.
🃏 Automatically Maintained Trading Records
AI automatically maintains trading records to help with tax filing.
Start in the bot