TechFlow news, November 26 — According to Yonhap News Agency, South Korea's National Assembly Committee on Strategy and Finance canceled a scheduled plenary session, primarily due to disagreements between ruling and opposition parties over the proposed two-year postponement of cryptocurrency taxation. The ruling People Power Party supports delaying the tax implementation, while the main opposition Democratic Party of Korea insists on proceeding with the original plan.
Under current plans, a 22% tax rate would apply to crypto asset gains exceeding 2.5 million Korean won. The Democratic Party has proposed raising the tax-free threshold from 2.5 million won to 50 million won, whereas the People Power Party argues that the necessary tax infrastructure remains underdeveloped and emphasizes the need to provide young investors with opportunities for asset growth.
The cancellation also affects a previously agreed-upon proposal by both parties to abolish the financial investment income tax. Under parliamentary rules, if related bills fail to pass the standing committee by November 30 but are linked to the budget, they may still be submitted for deliberation at the full legislative session.
