crypto to avoid tax?

[bitterguy28]

paju city, a city in south korea, has sent out notices to 17 people who were actively avoiding paying their taxes the authorities have threatened that if by the end of November and these citizens still have not yet paid their debts, the authorities will seize their crypto assets

they say it’s because many citizens hold their money in crypto to avoid paying taxes and they can get away with it because crypto is not legalized as money in the country

do you think it is only fair for the government to seize these citizens’ crypto or is this just a way for them to accumulate crypto when they could choose any other asset to pay for the taxes?

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[bayu7adi]

as far as i know, everyone in south korea is allowed to own cryptocurrency by buying it through an official exchange appointed by the government... so owning cryptocurrency should have a history of the transaction, right? although it is possible to get it through other means, but at least when you want to do a conversion, it still requires an official exchange and banking service which should be easy for the government to track... or maybe there is something i don't know that makes it difficult for the government..

[TomPluz]

The way I feel with this news is that the government is really serious in collecting the taxes these specific people do owed to the coffers of the city government so there is actually no excuse to deny the government of its right and power to do so. As we know, tax can be a big burden but since we are still under a certain government there is no point in contradicting the government as it can be costly and draining in our side doing so. All because you can own cryptocurrency secretly, many people are assuming that it can be an effective tool to avoid tax. Unfortunately, the government is now getting wiser and is using any available tools and means to track non-paying people of their taxes. So the question: is it fair for the government to seize crypto assets if anyone is not paying taxes? Not fair but there is nothing really fair in this world...we are living in an UNFAIR world and sometimes we just have to go with the flow.

[Azharul]

I believe that you could create an excellent comment in your post. I also believe that tax is very important issue in any government. But I think that crypto currency section is also should avoid it. Because in our country, which we can little work in cryptocurrency world and also earn lower income. So in this way, if government cut our tax in few earn then it will be very problem for us. So I think that avoid for crypto tax is very important for us.

[PrivateKayla]

We all dislike taxes, but they're one way for governments to keep countries running. It is what it is. Whether they're using taxes properly or not is another story altogether. It's possible that Paju City or South Korea is discouraging the use of crypto in illegal activities, including evading taxes. That's why they are focused on seizing crypto instead of other assets. Crypto ownership remains legal but citizens need to pay the government what they owe.   

[TokenTactician24]

paju city, a city in south korea, has sent out notices to 17 people who were actively avoiding paying their taxes the authorities have threatened that if by the end of November and these citizens still have not yet paid their debts, the authorities will seize their crypto assets

they say it’s because many citizens hold their money in crypto to avoid paying taxes and they can get away with it because crypto is not legalized as money in the country

do you think it is only fair for the government to seize these citizens’ crypto or is this just a way for them to accumulate crypto when they could choose any other asset to pay for the taxes?

read more

Crypto and taxes are a tricky mix. While Paju City’s move to seize assets enforces accountability, it highlights the need for clear crypto tax frameworks. Instead of asset seizures, governments should focus on transparent regulations that balance fairness and compliance without overreach.

[MRY]

paju city, a city in south korea, has sent out notices to 17 people who were actively avoiding paying their taxes the authorities have threatened that if by the end of November and these citizens still have not yet paid their debts, the authorities will seize their crypto assets

they say it’s because many citizens hold their money in crypto to avoid paying taxes and they can get away with it because crypto is not legalized as money in the country

do you think it is only fair for the government to seize these citizens’ crypto or is this just a way for them to accumulate crypto when they could choose any other asset to pay for the taxes?

read more

Forcing people to pay taxes is quite reasonable because all citizens expect the government to be fair to everyone. Of course, when there are rather people who misuse the active evasion of taxes and those stashing their funds, including in cryptocurrencies, simple references to the threat of confiscation are quite comprehensible. Cryptocurrency is not a legal tender in many countries around the world, however as a form of wealth that is capable of being used to meet one’s tax obligations, crypto falls under that section. This step also informs the country that there are no ways one could manipulate his way out responsibility to the state.

But it is crucial to explain that the action should be transparent so that people do not think that the government is trying to seize the opportunity that crypto has presented to get only the benefits for the government side. Allowing taxpayers to negotiate other assets to clear their debts before ‘asset seizure’ as a measure is fair, yet measured. In that way, those citizens who are law abiding but have not reported the defaulters will not feel they are losing out while observing the law. Effectively, it will also enhance confidence in institutions that apply the provisions of the rules.

[Zed0X]

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do you think it is only fair for the government to seize these citizens’ crypto or is this just a way for them to accumulate crypto when they could choose any other asset to pay for the taxes?

It doesn't matter if it's crypto or other assets, it's in their legal power to enforce tax collection. It's already stated in the article that they sell these seized cryptocurrencies and I believe that. There's no way Government agencies will be accumulating these tokens because the goal is to settle a debt valued in fiat immediately or asap.

[sampoerna]

The way I feel with this news is that the government is really serious in collecting the taxes these specific people do owed to the coffers of the city government so there is actually no excuse to deny the government of its right and power to do so. As we know, tax can be a big burden but since we are still under a certain government there is no point in contradicting the government as it can be costly and draining in our side doing so.

The point is here, the government will always monitor any fund activity that is worked on and obtained by its citizens to be used as taxes. Not only in that country, in my country too, the point is, if the tax is smooth, all matters are smooth. They allow the use of crypto as an asset, but maybe they just thought that if their citizens' wealth is in crypto assets and they can't track it, then they can't tax the assets, especially those that their citizens store in non-Korean exchanges.

But if they store it in a global exchange, the government can't detect it, right? but unless it is in their country's local exchange which can also be directly taxed, like what happens in my country's local exchange, all buying and selling transactions in the local exchange in my country are directly subject to direct tax deductions in the exchanges, so if we transact in an exchange registered with me, when we make a withdrawal to a bank account, it will be very safe, but if we do it in a global exchange and make a withdrawal through the P2P method without any tax deductions like in a local exchange, then it will have dangerous consequences, there are several cases that eventually ended up being visited by tax officers with very large fines.

Wow, this is once again, it's about state revenue, taxes, and they won't just stop there to always be able to get taxes from their citizens.

[MRY]

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do you think it is only fair for the government to seize these citizens’ crypto or is this just a way for them to accumulate crypto when they could choose any other asset to pay for the taxes?

It doesn't matter if it's crypto or other assets, it's in their legal power to enforce tax collection. It's already stated in the article that they sell these seized cryptocurrencies and I believe that. There's no way Government agencies will be accumulating these tokens because the goal is to settle a debt valued in fiat immediately or asap.

Taxation of the assets owning including cryptocurrencies is one of the ways the government fulfills the obligation of managing state finances. This policy demonstrates that crypto currency is becoming part of the economic process as a whole. To use the confiscated funds to meet budget needs is quite understandable if the end result is expected to be a lower state debt. It is possible to regard it as an attempt to restore the equilibrium between the policy on digital assets control and the nation’s economic accountabilities.

On the same note, this step is also a wakeup call to the players in the Crypto market on how regulations affect our investment. Greater reporting and knowledge of the tax requirements can help us to work within the current legal requirements. Thus, we can continue to provide support for the formation and development of a healthy crypto world together with keeping the financial sustainability within the framework of an individual and society.

[luckyledger]

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do you think it is only fair for the government to seize these citizens’ crypto or is this just a way for them to accumulate crypto when they could choose any other asset to pay for the taxes?

It doesn't matter if it's crypto or other assets, it's in their legal power to enforce tax collection. It's already stated in the article that they sell these seized cryptocurrencies and I believe that. There's no way Government agencies will be accumulating these tokens because the goal is to settle a debt valued in fiat immediately or asap.

If these assets would be seized - they are usually obliged to get rid of them due to regulations.
So the question is what would be the case at which we are looking at.

[tequilla_sunset]

Crypto and taxes are a tricky mix. While Paju City’s move to seize assets enforces accountability, it highlights the need for clear crypto tax frameworks. Instead of asset seizures, governments should focus on transparent regulations that balance fairness and compliance without overreach.

Yeah, gov guys have lots to work with and how it would be beneficial to both in fact - because crypto is being adopted more and more, and it won't go without notice from bigger entities. There always will be a compromise found in that regard, or at least it should be searched for.

[0t3p0t]

Well, my question is how do the government know we are holding crypto and how much we had if we are keeping our assets anonymously? Maybe they are getting personal information from the local exchanges because that is the only way they can control since local crypto exchanges are compliant to local SEC. But here in my country there is no clear regulation regarding taxation but maybe they'll have to implement it for the income tax I am not that sure.

[Mia Chloe]

If you ask me I'll say privacy and anonymity id the proof here . That's because firstly the government cannot seize funds or coins from you if they have no records of you buying those coins. If you check , it very likely to find out that the persons that got their coins seized had them on an exchange ( which is obviously a centralised exchange) or they bought their coins from a centralised exchange.

Taxation is something everyone tries as much to avoid however In some regions and countries taxation rules are very strict and difficult to avoid per say. It may not seem fair but if that information is correct then I really don't think there is much they can do rather than just pay off the debt.

[ABCbits]

If they use regulated exchange and perform KYC verification honestly, then i doubt they plan to use crypto to avoid tax. After all, they should know those exchange would give data to government upon request and cryptocurrency usually have transparent blockchain (you can see sender, receiver and amount sent).

And while i'm not familiar with South Korea's law, it's definitely weird they claim they'll confiscate crypto from tax evader when there are other ways to collect the unpaid tax.