Seoul’s Gangnam District Cracks Down on Tax Evaders with Crypto Confiscation Drive
The affluent Gangnam district in Seoul, South Korea, has intensified its efforts to target tax evaders, with a focus on confiscating cryptocurrencies. According to reports, the district has confiscated approximately 340 million won (around $244,796 USD) in crypto assets since the end of last year. This initiative is part of a broader effort to crack down on individuals who fail to pay their local taxes, including property taxes.
The district’s efforts have been successful, with 200 million won in unpaid taxes collected in the first half of the year alone. This was achieved by confiscating crypto assets from individuals who had failed to pay their taxes. The district’s tax management team has been working closely with the country’s five major fiat-crypto exchanges to identify and freeze the assets of tax evaders.
Crypto Owners Pleading Poverty
There have been instances where crypto owners have attempted to claim poverty, only to be found with significant amounts of crypto assets. In one case, a resident who claimed to have insufficient funds to pay taxes was found to have a wallet containing more than enough crypto to cover their tax liability. The individual was subsequently forced to pay 120 million won (around $86,495 USD) in taxes.
According to the head of the Gangnam government, Jo Seong-myeong, the district will continue to confiscate crypto assets from tax evaders, regardless of the amount. The district is also working to create a cooperative system with other autonomous districts to facilitate mass searches and confiscation of crypto assets from tax evaders.
Korbit Partners with Busan Customs Office
Crypto exchange Korbit has agreed to work with the Busan Customs Office to support efforts to pursue and confiscate crypto assets from long-term tax evaders. The partnership will enable tax officers to identify and confiscate crypto assets from both active and inactive crypto exchanges. Korbit has stated that it will continue to offer institutional and technical support to help build a transparent system for tax payments.
For more information on this story, visit https://cryptonews.com/news/seouls-gangnam-district-targets-tax-evaders-in-revamped-crypto-confiscation-drive/
