From Bitcoin’s inception to now, no country seems to have come up with a standard framework for how to tax Cryptocurrency investments. That is not to say that some have not tried. The United States, at this point, has ended up with a few contrasting opinions, which make it hard for Crypto investors to know what to do come tax time at the end of the year.
According to Cointelegraph, however, Japan is looking to be the first to successfully find this standard. Reportedly, on Wednesday, a special commission of the Japanese government met with the aim of achieving a standardized process for not only taxing Crypto assets, but also helping investors accurately calculate all profits they have achieved on them.
In doing so, the president of the committee, which is being called “the Tax committee,” is aiming to get experts together, which ostensibly will include professionals who deeply understand existing taxation processes as well as, on the other hand, the inner workings of the Cryptocurrency market.
Until any results come from these efforts, Japanese investors will have to be satisfied with filing Crypto earnings under “miscellaneous income,” as well as dealing with a variable tax rate that is applied to all who have made profits on more than $1,800.
In the very least, this is a lot more easy to deal with than the current state of Crypto taxation in the US, which basically amounts to not even knowing what category to file one’s gains under.
By: BGN Editorial Staff