Japan can consider uniform tax on crypto transactions

Posted 26 June, 2018

Japan's Deputy Prime Minister, Taro Aso, calls for a revision of the crypto regulation regarding taxation system and switch from progressive rate to uniform rate for crypto transactions.

Since this February crypto traders face a progressive tax on crypto income at the range 15-55%. At the same time, gains from cryptocurrencies transactions are considered as miscellaneous income. Moreover, the investors have to provide tax policies annually.

As commented the National Tax Agency (NTA), there are seven income tax brackets in the country with the taxes being set in line with the earnings (5-45%).

"The maximum income tax rate now stands at as high as 55% including 10 percentage points for the local individual inhabitant tax," the authority stated.

Meanwhile, the Deputy Prive Minister put forward a proposal to implement a uniform taxation for the crypto segment. He believes that taxes should be similar to those effects on stock or currency markets (some 20%).

"The profits gained by virtual currency transactions should be changed from current ‘miscellaneous income’ to ‘declaration separate taxation," Taro Aso stated.

As Taro Aso said, sales of securities like shares, warrant bonds, are subject to separate taxes set at 20.315% (national tax+local inhabitant's tax).

According to the 2017 data, 331 payers declared crypto income exceeding JPY 100 million in total ($914,000).

Previous story

26 June, 2018 17:51

← Australia and New Zealand also stand aloof from cryptos

The Head of payment policy department at the Reserve Bank of Australia has recently stated that cryptocurrencies, in particular, bitcoin and other coins, failed to show their value as a savings means due to high volatility and hacks vulnerability. The Central Bank considered neither launch nor application of any digital currency, citing that seeing the experience of other countries...

Australia and New Zealand also stand aloof from cryptos

Next story

26 June, 2018 13:22

New exchange in South Korea reports data dump →

One of the South Korean crypto exchanges has reported data loss. The platform has lost the data of 19 holders of Karma coins. The total amount of the coins is estimated at KRW 750 million or $620,000 in total. The lost data reportedly contained emails, wallet addresses and private keys of the users, which means that anyone can get access to the money with that information.

New exchange in South Korea reports data dump
Write a comment
 
Prove you’re not a bot + 7 = 21