ETHERLive
ETHERLive delivers real-time price and volume data across 16+ exchanges to users in a clear and easy-to-understand package. Users can get up-to-the-second updates for each exchange/currency pair, as well as aggregated market averages for each exchange, currency, and the market as a whole. It also provides a global converted average of all the currency pairs monitored by ETHNews, converted to USD.

---

24hr ---
--%
Tuesday Dec 11th 2018
RESOURCES

The Basics

Learn the basics of Ethereum and various cryptocurrency technologies

Learn More

What is Ethereum?

Understand the underlying principles of the Ethereum Platform

Learn More

The Blockchain

Discover the revolutionizing technology known as the blockchain

Learn More
SUBMIT

Press Release

Submit a press release for consideration on ETHNews

Submit Press

Story / Dapp

Submit a story or DAPP to be considered for publication on ETHNews.

Submit Story

Explanation

Submit "Ethereum Explainer" content for consideration to be featured on ETHNews

Submit Topic
ETHNews Logo
---
--%
Home
News
Etherlive
Ether Price Analysis
Resources
Contact Us

Japan’s National Tax Agency Works To Prevent Crypto Tax Evasion

By

Nicholas

Ruggieri

WriterETHNews.com

The tax regulator seeks to tighten its grip during the country’s 2019 tax reformation restructuring.

According to a report in Japanese newspaper Mainichi Shimbun, the National Tax Agency (NTA), Japan's tax regulatory body, is working to introduce strategies to curb tax evasion on cryptocurrency transactions from crypto investors. The NTA plans to introduce a system that will target defaulters with large earnings from cryptocurrency transactions, which will be established in the 2019 tax reform outline and put into action in 2020.

The report notes that, currently, under Japan's Income Tax Act, profits gained from virtual currencies are classified as miscellaneous, and that those who gain at least 200,000 yen (roughly $1,775) a year in virtual currency earnings are required to declare it as income. A study conducted by NTA officials showed that over 300 individuals declared they had earned at least 100 million yen ($887,445) in cryptocurrency during the late 2017 and early 2018 crypto boom.

The current framework allows crypto exchanges and other businesses that deal in cryptocurrency to provide data on customers voluntarily to the NTA, with the right to refuse to do so. When reformed, the new system will allow the taxation authority to demand that businesses hand over personal information of their customers, including names and addresses.

That's not to say the Japanese government won't be taking some privacy into account. The NTA will only be allowed to demand information from those they believe to have earned at least 10 million yen ($88,744) from cryptocurrency transactions, and only after they have confirmed that the individual failed to report at least half of that income. Businesses will also be allowed to appeal information requests.

It isn't specified whether or not the NTA will change the amount of yen one must declare they made in cryptocurrency (currently 200,000 yen). All that's made clear is the amount that needs to be earned for it to investigate.

The NTA's reformation plan comes a few days after the Jiji Press reported that the Financial Services Agency (FSA), Japan's financial regulator, is working to introduce strict ICO regulation to protect investors from fraud.

Nicholas Ruggieri

Nicholas Ruggieri studied English with an emphasis in creative writing at the University of Nevada, Reno. When he’s not quoting Vines at anyone who’s willing to listen, you’ll find him listening to too many podcasts, reading too many books, and crocheting too many sweaters for his dogs, RT and Peterman.

ETHNews is committed to its Editorial Policy

Like what you read? Follow us on Twitter @ETHNews_ to receive the latest Japan, National Tax Agency or other Ethereum law and legislation news.