South Korea to impose 10–50% gift tax on crypto airdrops

South Korea’s government has announced that it will begin imposing a git tax on crypto airdrops with the taxation rate being as high as 50% in some cases. The Ministry of Strategy and Finance said on August 22 that the taxation would be considered on a case-by-case basis and that it would range from 10 to 50%.

The government official said that with respect to airdrops, “the gift tax will be levied on the third party to whom the virtual asset is transferred free of charge,” namely the airdrop receiver.