National Tax Office of Japan creates a database of crypto-investors
According to Bloomberg, Japanese investors investing in crypto-currencies will pay from 15 to 55% of the tax from the declared annual income.
The agency reports that the National Tax Authority of Japan is creating a database of crypto-investors.
The publication suggests that this is done for the purpose of compulsory collection of taxes in accordance with tax legislation.
In addition, the agency creates special units in Tokyo and Osaka, whose competence will be monitoring of electronic commerce.
It should be noted that last year the National Tax Administration stated that the revenues from virtual currency transactions would be classified as “Miscellaneous Income”.
The profit tax on crypto-currency transactions is significantly higher than the tax on operations with foreign currencies, which is about 20%. At the same time this tax is progressive – that is, a higher rate is provided for taxpayers with an annual income of more than 40 million yen (about $ 367,600).
For comparison, the South Korean authorities announced that the tax on transactions with crypto-currencies will be 24.4% in accordance with the existing tax policy for corporations.
According to Bloomberg, about 40% of bitcoins (BTC) recently traded paired with the yen. This means that the taxation of cryptocurrencies promises the state treasury of the Land of the Rising Sun huge incomes.
As you know, the Japanese government recognized bitcoin as official payment means as far back as April 2017, trying to prevent hacking of crypto-exchange exchanges and keeping them from mismanagement. The reason for this decision was the collapse of the Mt. Gox in 2014.
Earlier it was reported that the US Internal Revenue Service (IRS) had created a special unit that would identify citizens who were hiding income from crypto-currency transactions.