There is a plan to launch its own virtual asset electronic electronic system next month to seize crypto assets related to tax evaders in a city in South Korea.
According to South Korean Media Outlet Energy QongjeThe city of Gwacheon has announced that it will launch “its electronic virtual asset seized system”. The regulators of the city are expected to use the IT solution in the wide Gienggi province to identify the crypto wallets related to the tax evaders living in the city in the near future.
Using the new seized system, the GWCHEON city will mainly target 361 high-ion citizens, who have been identified for not paying more than 3 million in tax, the average amount has won around 18.8 billion due to the average amount. . According to the report, these individuals are suspected of hiding their money in Crypto as a way to avoid paying high taxes.
In South Korea, the proposal by crypto has not yet been placed, as regulators have agreed to postpone the 20% crypto tax since 2027. Despite this delay, the South Korean government has given local tax agencies in some areas. The right to seize crypto related to those residents under investigation for tax evasion.
Before confiscating any property, Gwacheon city officials promised to issue warnings to the targeted citizens, encouraging them to pay additional taxes to avoid the seizure of their crypto assets. If the citizens are not able to pay the additional tax amount before the prescribed time limit, the authorities will proceed with seizing their crypto assets.
The process of collecting additional tax amount will begin using the new IT solution in the first half of 2025.
Kang Min-Ah, head of GWCHEON City Tax Division, said that it is important to ensure the system of seizing its electronic crypto of deployment that the tax system is appropriate for all citizens who pay taxes in a dutiful manner.
“We will realize proper taxation through strong responses to avoid tax and will actively stop tax evasion through virtual assets,” Kang said.
In the last five years, Gwacheon City has allegedly seized about 300 million virtual assets organized by the alleged high -income local tax evaders. In 2024 alone, officials claimed that 110 million have won digital assets.
