Gyeonggi, the most populous province in South Korea, declared on Thursday that it had amassed $4.6 million from cryptocurrency tax evaders, as per a local article published by Yonhap News Agency.
A digital tracking system, being employed for the first time in the nation, was implemented to enable the tracing and collection of the tax evaders’ crypto accounts.
The procedure was using the local government-issued registration number of violators, or delinquents as they are known in South Korea. This made the violators’ mobile numbers visible, which were subsequently utilised to trace the associated cryptocurrency exchange accounts. The method cut the time it took to request case-by-case information from cryptocurrency exchanges from six months to only fifteen days.
There were 5,910 individuals who owing more than $2262 apiece, according to the system. Just 2,390 people contributed the $4.6 million that has been gathered thus far from last year.
Noh Seung-ho, chairman of the Provincial Tax Justice Department, said Yonhap News Agency, “We will continue to take strong collection action against unscrupulous delinquents who say they do not have money to pay taxes and trade virtual assets.”. South Korea has been looking into some companies for possible tax cheating while continuously delaying implementing its tax laws on cryptocurrency earnings.