South Korea seized more than $47M (53 billion won) in crypto for unpaid back taxes. Officials have found 12,000 people accused of tax evasion.
The seizures are part of a months-long probe citing the government for Gyeonggi province that encompasses the greater Seoul area.
According to an FT report, a television host and doctor are among thousands of wealthy South Koreans whose cryptocurrency holding has been seized in the crackdown.
“we will do our utmost to protect law-abiding taxpayers and fulfil our fair taxation mandate by probing and tracing asset that tax dodger may be concealing in the midst of the recent cryptocurrency trading fervour,” said Kim Ji-ye, director-general of Gyeonggi Province fairness Bureau.
Gyeonggi official said it was the largest “cryptocurrency back tax seizure in Korean history.”
Gyeonggi noted that tax evaders were using local exchanges to conceal assets. These exchanges did not collect the resident registration numbers of account holders.
Many of the South Koreas 60 crypto exchanges are battling to meet the regulatory condition to operate beyond September. The Financial Services Commission set a deadline for Korean exchange to partner with a bank. It will help them to open real-name accounts for customers. The seizures followed a broader crackdown on the crypto industry in South Korea in a bid by the country to tackle financial crime and money laundering. The Korean government is also drawing up plans to impose an income tax on cryptocurrency trading.
Also Read: South Korea Caps Crypto Lending Rates, Bans Leveraged Loans
