Japan is preparing amendments to the legislation under which the National tax Agency of Japan (NTA) will be able to require cryptanalytic exchanges information about clients suspected of tax evasion. It is reported by The Mainichi.
The current legislation allows the bitcoin exchange to provide information about the clients on a voluntary basis. Amendments to the tax law involves the cooperation of exchanges with the authorities on the request of the latter.
«The authorities plan to allow tax authorities to demand information on the traders who, according to them, earned cryptocurrency of 10 million yen or more. The query can only be implemented if there is evidence that the trader had concealed at least half of their income», — the newspaper writes.
Currently, revenues from cryptotrading in Japan are regarded as other income in the income tax act. Declarations are subject to the amount of 200,000 yen ($1800) a year.
According to the publication, in 2017, more than 300 Japanese nationals and earned digital assets over 100 million yen ($900 000).
In turn, the experts of the NTA claim that the number of cases of tax evasion in this sector is growing and the actual number of earning bitcoin traders may be much higher.
It is expected that new standards will be established in the course of tax reform in 2019 and implemented in 2020.
We will remind, in November the President of Poland Andrzej Duda signed the bill, involving the introduction of 19% tax on gains from operations with cryptocurrencies.
Subscribe to the channel ForkLog in YouTube!