Japanese Crypto Investors To Pay Tax Of Up To 55 Percent On Profits
Feb 11, 2018 Posted / 4605 Views
The government of Japan declared that crypto investors will pay 15% and 55% of their profits on the basis of their annual tax details. As per sources, the Japanese tax agency declared last year that profits on crypto investment will be considered as income and will be counted under “Miscellaneous income”. Tax charged on virtual tokens is higher than stocks and foreign currencies. The tax form is of progressive form which means individuals with more income pays more taxes.
Whereas in South Africa, the government declared to charge to 24.2% more with existing tax charged on corporate.
Reportedly, Bloomberg claimed that around 40% of YEN transactions are done in Japan and thus it can be concluded that due to virtual transactions government will collect more revenue this time. Further, Bloomberg stated that Japanese Tax agency is recording digital transactions in Tokyo and Osaka in order to frame regulations accordingly.
In an interview with coin telegraph, the IRS (Internal Revenue Services) of US told that they have created a team of 10 members who will b tracking down the virtual token investors who did not report about their transactions and income and thus failed to pay taxes.
In April 2017 the government of Japan legalized the circulation of the renowned digital token, Bitcoin in order to avoid hacks and scams.
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