South Korea plans to tax income from virtual-asset transfers and lending as separate other income from Jan. 1, 2027. After a 2.5 million won annual deduction, the combined income and local tax rate will be 22%, covering 13.26 million investors. Critics say the absence of loss carryforwards can create tax bills even when multiyear results are zero. A second National Assembly petition seeking a two-year delay surpassed 50,000 signatures within two weeks, while an earlier May petition to abolish the tax collected 50,908 signatures. The industry is also seeking better systems for verifying acquisition costs from overseas exchanges and personal wallets. The government intends to proceed on schedule, citing transaction data and CARF (international automatic tax-information exchange) as tools for identifying taxable income. The main unresolved issue is whether standards for transaction-level reporting and loss treatment can be established before implementation.