Key Points

  • Authorities in the South Korean City of Cheongju are set to seize crypto from uncooperative taxpayers.
  • These authorities seek to seize crypto from thousands who have over $750 in crypto taxes to the government.

The South Korean City of Cheongju is set to seize crypto holdings from thousands of taxpayers who owe the government more than $750 in crypto taxes.

South Korean City of Cheongju doubles down on tax evasion among crypto enthusiasts

The City serves as the capital of the North Chungcheong province. Its authorities have indicated they intend to enforce a compliance norm among crypto users.

As such, it has requested seven South Korean crypto exchanges to inquire into the holdings of thousands of tax evaders, as a local news source reported on August 22. These authorities seek assistance from exchanges like Bithumb and Upbit to inquire into over 8K crypto users who owe over $750 each.

Following the inquiry, the administrators seek to repossess the crypto assets as they feel it has been a growing culture that citizens of the country are using crypto to evade tax payments. This process is set to enforce a culture of compliance among all citizens of the nations and block loopholes in tax losses.  

It is not the first time South Korea has conducted tax-related crypto confiscations. In 2022 and 2021, the national government collected over $180 million worth of crypto assets from tax evaders. 

Keep watching Fintech Express for more updates on crypto and other fintech-related developments.