tax

According to DigitalAsset, South Korean Deputy Prime Minister and Minister of Economy and Finance Koo Yun-cheol stated at a plenary meeting of the National Assembly's Finance and Economy Planning Committee that the taxation of digital assets will be implemented as planned on January 1, 2027, and the system may be supplemented and improved if necessary thereafter.According to the current income tax law, the portion of income from digital asset transactions exceeding 2.5 million won will be subject to a 20% tax rate (including local taxes up to 22%). The implementation was originally scheduled for 2022 but has been postponed three times due to insufficient infrastructure. In response to concerns raised by People Power Party member Kim Sang-hoon regarding the non-application of loss carryforward deductions potentially leading to a decline in domestic demand and capital outflow, Koo stated that stock investments also do not allow for loss carryforwards, and the taxation can be reviewed and improved at any time. Regarding the introduction of a capital gains tax similar to that in overseas markets, Koo mentioned that a comprehensive and systematic consideration of the overall capital market is necessary.

According to Edaily, the Financial Services Commission (FSC) of South Korea plans to jointly draft a unified government bill for the "Basic Law on Digital Assets" with the ruling Democratic Party, covering the issuance and circulation of stablecoins, business rules for digital assets, exchange admission requirements, information disclosure, internal control, and system resilience standards. Currently, there are 10 related bills pending review in the National Assembly, but there has not yet been consensus on core disputes such as whether the issuers of won-pegged stablecoins must be bank holding companies and whether to impose shareholding restrictions on major exchanges. The FSC has not yet determined the submission date for the bill.Meanwhile, the opposition party's People Power Party lawmaker Song Yeon-sik submitted a proposal to abolish the cryptocurrency income tax amendment to the National Assembly's Finance and Economy Planning Committee for review on Wednesday. Additionally, a tax abolition petition supported by over 50,000 people is also expected to be submitted to the petition subcommittee. According to the current plan, starting from January 1, 2027, cryptocurrency transfers or lending income exceeding 2.5 million won per year will face a 20% income tax plus a 2% local tax. The government and the ruling party support the timely implementation, while the opposition party believes it is unfair to tax cryptocurrencies when most ordinary stock investors remain tax-exempt.

According to Cointelegraph, Uzbekistan has officially launched its first tax-free cryptocurrency mining zone, Besqala Mining Valley, where miners can enjoy tax exemptions until 2035, while needing to pay a 1% revenue fee and double the electricity price. The relevant bill was signed in April.

Justin Ryan Schmidt, the founder of the cryptocurrency investment fund Translunar Crypto LP, has been sentenced to 37 months in prison by a U.S. court for tax evasion. The U.S. Department of Justice stated that the 46-year-old Schmidt pleaded guilty this year in federal court in Austin, Texas, where he was accused of underreporting income, declaring less than $5,000 in income from 2020 to 2022, while prosecutors claimed he actually earned over $7 million through fund operations from 2019 to 2022.It is reported that Schmidt founded Translunar in 2017, primarily investing in blockchain startups, with funding mainly coming from investors in the Austin area of Texas and Aspen, Colorado. He was arrested by the IRS Criminal Investigation Division on February 23, 2026, and has been in custody since then.

According to monitoring by Catcher Predict, in the market prediction on Polymarket for the event "Dota 2: Team Syntax vs. Nemiga Gaming - EPL Masters Group A," the "Yes" option in the sub-market "Ends During the Day" has experienced a dramatic fluctuation in win rate, soaring from 50% an hour ago to the current 90.5% (a fluctuation of 40.5%). Please note the impact of relevant breaking news.

According to the Financial Times, after three years of combating cryptocurrency tax evasion, the UK's HM Revenue and Customs has recovered over £8 million in taxes by reaching settlements with hundreds of cryptocurrency investors. Data obtained through a Freedom of Information Act request shows that in the past two years, 502 crypto investors reached disclosure settlement agreements with HMRC regarding unpaid taxes. In the 2024/25 tax year, a total of 280 individuals settled with HMRC, paying a total of £3.5 million. In the 2025/26 tax year, the number of settlements decreased to 222, but the total amount increased to approximately £4.8 million.

The cryptocurrency lobbying organization TDC has filed a lawsuit seeking to block the enforcement of the Illinois Digital Asset Tax Act.This tax applies to any company headquartered in Illinois or operating in the state that provides digital asset services in the state.

According to Digital Asset, officials from the Korean National Tax Service have proposed legislative suggestions, believing it is necessary to amend the Criminal Procedure Act to allow for the seizure of virtual assets held by individuals. Individual ownership of digital assets refers to the situation where the private key is directly held by the individual, without the need to entrust a third party for custody or disposal.In June of this year, four individuals, including Zhang Xiyuan, the head of the National Tax Service investigation team, published a paper titled "Limitations and Legislative Review of Self-Protecting Virtual Asset Seizure Execution" in the journal "Criminal Policy Research" of the Korean Institute of Criminology and Justice. The paper explains that separate regulations must be established for the requirements and procedures for transferring to a public wallet or obtaining control. The paper first points out that when a suspect or owner holds access means such as a private key, the search warrant must clearly specify the following: the type and quantity of digital assets to be seized; verified addresses; addresses to be transferred; methods of transfer; and storage methods after the transfer. Furthermore, due to the risks of theft associated with transferring assets to wallets managed by a single entity, the paper proposes a method for transferring to a joint address managed by both the court and investigative agencies.

The UK's tax authority HMRC announced that starting from April 6, 2027, it will adopt a "no gain, no loss" tax treatment for cryptocurrency lending and liquidity pools, which is expected to affect approximately 700,000 people.

According to Japanese media reports, the Japanese Senate officially voted today to pass the revised "Financial Instruments and Exchange Act." This amendment marks the formal inclusion of crypto assets (virtual currencies) into the regulatory scope of financial products, no longer limited to the constraints of the "Funds Settlement Act" as a means of payment.In terms of regulation and investor protection, the new rules introduce an insider trading regulatory mechanism for the crypto market, while also accepting oversight from monitoring committees such as those for securities trading. Additionally, the law significantly increases the penalties for unlicensed operators, with the maximum sentence raised from 3 years to 10 years in prison, and the maximum fine increased to 10 million yen. This revised legislation is expected to be officially implemented by July 2027.In terms of taxation and investment channels, the new rules clarify several significant policy changes. Starting from January 2028, the tax rate on profits from crypto asset trading in Japan will be reduced from the current maximum of 55% comprehensive taxation to a unified tax rate of 20%, the same as for stocks (separate declaration taxation). Furthermore, the Japanese market is also expected to officially lift the ban on crypto asset ETFs during the same period, with various securities institutions already beginning preparations for related entry matters.

According to South Korea's Chosun Ilbo, the National Tax Service of South Korea is accelerating preparations for the taxation of virtual assets by 2027, including the establishment of a new Digital Asset Comprehensive Division and the promotion of the construction of a comprehensive analysis system for virtual assets. However, the National Assembly has not yet scheduled the discussion on the petition signed by 50,000 people to abolish the virtual asset tax, and discussions have stalled.Under the current tax system, investment income from virtual assets is taxed at 22% after a deduction of 2.5 million won, while stock investors do not pay capital gains tax when buying and selling stocks on the exchange, and losses from virtual assets cannot be carried over to the next year, which has been criticized as unfair. Related discussions are expected to advance after the government's tax reform plan is announced at the end of July.

The UK's HM Revenue and Customs has confirmed that depositing crypto assets into DeFi lending protocols and liquidity pools will no longer be considered a taxable disposal, and capital gains tax will be deferred until the investor actually economically disposes of the asset. This measure was announced on Monday and will take effect on April 6, 2027, amending the 1992 Taxation of Chargeable Gains Act. HMRC estimates that this measure will affect approximately 700,000 individuals and trustees using crypto loans and liquidity pools. Aave founder Stani Kulechov stated that this practice is "the right direction."

The UK HM Revenue and Customs has issued a policy document proposing that starting from April 6, 2027, certain crypto asset loans and liquidity pool arrangements involving individuals and trusts will be subject to a "no gain no loss" treatment, meaning that capital gains tax will be deferred until an economic disposal occurs.

According to Bitcoin News, a Bitaxe ASIC miner equipped with a single chip mined Bitcoin block number 957,382, earning the full block reward of 3.1382 Bitcoins, valued at approximately $200,580. This miner has a hash rate of about 1 TH/s and is the only device at that address.Since mining was done through a public mining pool (with a fee of 0%), the miner's owner retained 100% of the block reward and transaction fees. The mining difficulty of this block reached 294.14T, which is more than 2.2 times the required difficulty of 133.87T. With a hash rate of 1 TH/s, the average probability of mining a block is about once every 16,000 years, making this an extremely rare event.

According to Reuters, the Reserve Bank of India reiterated its call for a "tendency to ban" cryptocurrency policies, while the country's tax department warned that transactions conducted through offshore exchanges are difficult to trace. These documents reveal that, although the government has not yet implemented policies to ban or regulate cryptocurrency, major government agencies in India tend to favor stricter restrictions on virtual digital assets.Since a court ruling in 2018 declared the Reserve Bank of India's (RBI) policy effectively banning cryptocurrency invalid, India has allowed cryptocurrency to remain in a gray area. Legislation drafted in 2021 aimed at banning private cryptocurrencies was never submitted for parliamentary consideration, and a discussion paper on the topic has also been postponed multiple times. The government has delayed the implementation of a formal virtual asset policy, stating that any plan should balance innovation and risk management while protecting monetary sovereignty, financial stability, and preventing consumer losses.

According to The Edge Malaysia, South Korean Chief of Staff Kang Hoon-sik stated on July 5 that the Lee Jae-myung government plans to establish a "Future Response Fund" using the additional tax revenue generated by the semiconductor boom. This fund will support three major super projects (semiconductors, physical AI, data centers), cultivate new growth momentum, address "K-shaped" economic polarization, and provide housing, entrepreneurship, and employment support for the young population aged 20 to 30.Samsung Electronics, SK Hynix, and government agencies plan to invest hundreds of billions of dollars in the aforementioned projects, aiming to strengthen South Korea's global competitiveness in the chip and AI sectors and promote balanced development outside the capital region.

The South African Revenue Service (SARS) recently released the "Draft Guidelines on Taxation of Crypto Assets," seeking public input on how South African tax residents should declare and handle income related to crypto assets, with a feedback deadline of August 31.The guidelines focus on the provisions in tax law that are most closely related to crypto assets and do not cover all applicable sections. Some provisions, although not explicitly mentioning crypto assets, are also applicable to related trading activities.The guidelines state that South Africa's income tax system is residency-based. With specific exceptions, South African tax residents must pay tax on their worldwide income, including income and capital gains from crypto assets listed on foreign exchanges; non-residents may also have tax obligations if their income source is South Africa or if the disposed assets meet the relevant provisions.

According to PYMNTS, the new cryptocurrency tax in Illinois, USA, will take effect on January 1, 2027. The law firm Jones Day stated that any brokers with business exposure in Illinois should begin registration preparations as soon as possible and review existing record-keeping processes to meet the upcoming compliance requirements.