South Korean city to launch your own cryptocurrency system for tax deprived of tax

The city in South Korea plans to launch its own system to take over virtual assets next month to use a crypto property that belongs to tax avoiders.

According to the South Korean media Kyungjae energyGwacheon City has announced that it will launch a “own system to take over the electronic virtual assets.” City regulators hope to use IT solutions in Gyeonggi’s widespread province to identify the crypto banknotes belonging to tax avoiders living in the city in the near future.

Using a new seizure system, Gwacheon City will generally target 361 high -income citizens identified because they have not paid more than 3 million taxes won, as the average amount was about 18.8 billion won. According to the report, it is suspected that these individuals hid their wealth in cryptocurrencies as a way to avoid paying higher taxes.

In South Korea, a proposal for cryptocurrencies on cryptocurrency taxes has not yet been established due to regulators who have agreed to delay rumors of 20% of the crypto tax since 2027. Despite this delay, the South Korean government has given local tax agencies in certain regions, and the rights to subtract cryptocurrencies belonging to the inhabitants who undergo taxes under the supervision of the tax.

Before subtracting any property, city officials Gwacheon promise to warn the target citizens, encouraging them to pay additional taxes to avoid seizing their crypto assets. If the citizens are unable to pay an additional tax amount before a specified deadline, the authorities will move forward with the seizure of their crypto assets.

The process of collecting additional tax amounts will begin in the first half of 2025 by using a new IT solution.

Gwacheon City Tax Chief Kang Min-AH said that implementation of its own electronic cryptocurrency is vital to ensure that the FER tax system is for all citizens who obediently pay taxes.

“We will understand the fair taxation of strong responses to the tax evaders and actively block the tax utmost through the seizure of virtual assets,” Kang said.

In the last five years, Gwacheon City has allegedly seized about 300 million virtual assets won by local high -income tax taxes. In 2024 alone, authorities claim that they seized 110 million of digital assets won.