Japan To Exempt Companies From Tax on Long-Term Crypto Holdings
Crypto News

Japan To Exempt Companies From Tax on Long-Term Crypto Holdings

1m
Created 2mo ago, last updated 2mo ago

Japanese regulators to revise tax laws to boost crypto industry through tax exemptions on companies' long-term cryptocurrency holdings.

Japan To Exempt Companies From Tax on Long-Term Crypto Holdings
The Japanese government has proposed pivotal changes to the country's crypto tax policies in an effort to spur innovation and growth in the emerging digital asset industry.

In a draft tax reform plan for the 2024 fiscal year, Japan's ruling Liberal Democratic Party and its coalition partner Komeito have called for an exemption on taxes levied against unrealized crypto gains made by companies investing in cryptocurrencies as long-term holdings.

Under the current tax regime, Japanese corporations are required to pay taxes annually on any increased value of cryptocurrency held on their balance sheets. By removing this obligation for long-term investments, policymakers hope to encourage domestic businesses to build out crypto and blockchain capabilities.

In parallel with the crypto tax decision, Japan is pushing forward with preparation to launch its CBDC in mid-2024. Major Japanese financial services groups and telecoms firms are collaborating on the project.

This article contains links to third-party websites or other content for information purposes only (“Third-Party Sites”). The Third-Party Sites are not under the control of CoinMarketCap, and CoinMarketCap is not responsible for the content of any Third-Party Site, including without limitation any link contained in a Third-Party Site, or any changes or updates to a Third-Party Site. CoinMarketCap is providing these links to you only as a convenience, and the inclusion of any link does not imply endorsement, approval or recommendation by CoinMarketCap of the site or any association with its operators. This article is intended to be used and must be used for informational purposes only. It is important to do your own research and analysis before making any material decisions related to any of the products or services described. This article is not intended as, and shall not be construed as, financial advice. The views and opinions expressed in this article are the author’s [company’s] own and do not necessarily reflect those of CoinMarketCap. CoinMarketCap is not responsible for the success or authenticity of any project, we aim to act as a neutral informational resource for end-users.
3 people liked this article