Hanam City Achieves Virtual Asset Sale, Closing the Blind Spot in Delinquent Tax Collection

"From Seizure to Liquidation Complete"
New Collection Method Adopted, Blocking Concealed Assets

Hanam City in Gyeonggi Province (Mayor Lee Hyunjae) announced on the 21st that it had successfully seized the virtual assets of a local tax delinquent on the 19th, transferred them to a corporate account under the city's name, and converted them into cash. This sale marks the first case in Hanam City where the entire process-from seizure to transfer and liquidation of virtual assets-was handled independently, introducing a new collection technique in response to local tax delinquencies.

Aerial view of Hanam City Hall. Provided by Hanam City

Since 2021, the city has been encouraging voluntary payment through the seizure of virtual assets, but faced limitations in converting them into cash due to issues with exchange accounts. To address this, in March, the city opened corporate accounts under its name at major domestic virtual asset exchanges such as Upbit, establishing a foundation for the stable sale and transfer of seized virtual assets.

The liquidation process was not easy. Starting in July, the city sent three separate notifications regarding the transfer and sale of the virtual assets, but all were returned due to the recipient's absence, creating difficulties. After dozens of phone attempts, the city finally succeeded in reaching the delinquent directly, and formally notified them of the sale via text message and email before proceeding with the necessary steps.

The sale involved securely transferring the delinquent's virtual assets to the city's account, immediately liquidating them, and then transferring the proceeds to the city's designated bank, thus completing the collection. In addition to this case, the city has already issued three more sale notifications, with follow-up procedures to be carried out soon.

Through a thorough and meticulous process of transferring and liquidating virtual assets into the city's corporate account, Hanam City has demonstrated not only its ability to secure tax revenue, but also its practical administrative response to newly emerging concealed assets.

An official from the city stated, "Until now, virtual assets have remained a blind spot in the disposition of delinquent taxes, but this sale marks an important turning point in achieving tax justice. We will continue to pursue strong collection measures against various concealed assets, including digital assets."

Meanwhile, Hanam City has designated the period until November 30 as the "2025 Second Half Local Tax Delinquency Intensive Collection Period" and plans to make every effort to collect delinquent taxes in order to secure independent financial resources and establish a sound tax payment culture.

This content was produced with the assistance of AI translation services.