In South Korea, accused tax evaders had their cryptocurrency holdings seized in 2021 and 2022, totaling almost 260 billion Korean won ($184.3 million). Nearly 12.5 billion won, or $8.87 million USD, the worth of cryptocurrency was the foremost ever taken from one non-compliant taxpayer.”
The person apparently held 20 cryptocurrencies, including Ripple and Bitcoin. After establishing the plan in 2020, the South Korean tax authorities began using cryptocurrency seizures to recover unpaid taxes last year. After obtaining information from exchanges, leaders take a tax evader’s account or cryptocurrency assets. The digital assets are liquidated at the market price if the tax obligation isn’t paid. Kim Sang-hoon, a political candidate from South Korea’s right-wing People Power Party and a National Assembly’s Strategy and Commission member, collected the data from statistics made available by the finance ministry and other governmental organizations. Based on information obtained from the bitcoin exchanges, the authorities confiscated the defaulters’ accounts or property.
The authorities sell the cryptocurrency at market rates to recuperate the arrears if the tax evaders don’t pay after having their assets seized. The most digital assets ever taken from one defaulter was 12.49 billion won ($8.87 million). in step with the study, the resident of Seoul had over 20 cryptocurrencies, including $2.27 million worth of Bitcoin (BTC) and $1.34million worth of Ripple (XRP). After the seizure, the person paid the taxes and asked that his assets not be auctioned. After the govt. seized virtual assets worth $6.16 million, and another tax evader paid the debt. Additionally, $2.77 million worth of Cryptocurrencybelonging to an individual who owed $1.91 million in federal taxes was confiscated. The National Tax Service, Ministry of Public Administration and Security, Ministry of Strategy and Finance, and other governmental organizations contributed the information.
