Overseas Cryptocurrency Declarations Totaling 99.54 Billion Dollars Submitted to National Tax Service of Korea(IRS)
In a groundbreaking move, the National Tax Service of Korea has received its inaugural declarations of overseas cryptocurrency assets, with a total reported amount of 99.54 billion Dollars. This comprises an astonishing 70.2% of the total reported amount of 141.55 billion Dollars from all declarations in 2023.
The results of this year’s overseas financial account declarations reveal a substantial increase, with a total of 5,419 individuals coming forward, marking a notable 28.1% increase from the previous year. Both the number of declarants and the reported amount, showing a significant surge of 191.3%, have reached unprecedented levels since the introduction of the overseas financial account reporting system in 2011.
The breakdown of the 2023 overseas financial account declarations includes various assets such as deposits, stocks, collective investment securities, derivatives, and other miscellaneous holdings. Notably, cryptocurrency declarations, included in the reporting for the first time this year, saw 1,432 individuals declaring a staggering 99.54 billion Dollars, constituting the highest reported figure at 70.2% of the total reported amount.
Despite being in their inaugural reporting year, cryptocurrency declarations have outpaced other asset categories in terms of both the number of declarants and the total reported amount. In contrast, other overseas financial accounts, including deposits and stock holdings, reported 42.31 billion Dollars, experiencing a decrease of 6.39 billion Dollars which is -13.1% compared to the previous year.
The record-breaking numbers for both declarants and reported amounts in 2023 can be attributed to the inclusion of overseas cryptocurrency assets in the reporting framework for the first time. This underscores the growing significance of monitoring and regulating overseas financial accounts, particularly in the context of the rapidly expanding cryptocurrency landscape.
