South Korea’s National Tax Service announced that it would collect 40 billion won in taxes from Bithumb users

Bithumb has issued a preliminary notice of comprehensive income tax to some users who participated in activities held between 2018 and 2021, and announced full support for the related tax amount. The position of the National Tax Service is that rewards paid to users through various activities (including virtual assets) constitute taxable income. Bithumb does not agree with the National Tax Service's opinion, but explains that taxation is mandatory.

The National Tax Office has notified 10,700 Bithumb users of a total of 208.3 billion won in activity rewards, and plans to notify users of an additional 19 billion won in supplementary taxes as comprehensive income tax. According to Bithumb's estimates, this tax amount is expected to reach 40 billion won.

Bithumb announced that it will determine the accurate tax amount through full communication and discussion with users, and prepay the amount to the National Tax Service on behalf of users. In addition, we provide tax consulting services and appeal procedures for comprehensive income tax through tax experts specifically for individual users. In addition, Bithumb stated that it is currently appealing against the National Tax Service's handling of pre-withholding tax on other income.