South Korea targets unpaid taxes with crypto seizures
The city of Paju in South Korea’s Gyeonggi Province plans to seize and sell the cryptocurrency holdings of residents with unpaid taxes, having issued notices to 17 individuals owing around 124 million Korean won (£88,600) and warning of confiscation by the end of November.
The city of Paju in South Korea’s Gyeonggi Province has announced its intention to seize and liquidate cryptocurrency holdings from residents who have failed to pay their taxes. Notices were issued to 17 individuals owing a combined 124 million Korean won (around $88,600), warning that crypto assets on exchanges would be confiscated if debts are not resolved by the end of November.
Authorities in Paju are intensifying efforts to track crypto holdings, highlighting that digital assets have become a popular tool for evading tax obligations. Officials clarified that individuals with the means to pay cannot shield their wealth through cryptocurrencies. In July, Paju seized $72,000 worth of crypto from other delinquent taxpayers in similar enforcement actions.
Separately, South Korea’s NongHyup Bank is advancing a pilot project to tokenise VAT refunds in collaboration with digital assets platform Fireblocks. The initiative aims to reduce operational errors and fraud by assigning digital identifiers to assets for real-time tracking, ensuring greater transparency and trust between banks and customers.
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