Japan tax code now exempts crypto issuers from paying on unrealized gains: CoinDesk

Policy • June 26, 2023, 9:58AM EDT
The Block Crypto

Quick Take

  • Japan’s National Tax Agency has exempted crypto issuers from having to pay taxes on unrealized gains. 
  • The move aims to make Japan a friendlier country for crypto businesses. 

A notice from Japan's National Tax Agency redefined how taxes will apply to crypto issuers that hold onto their own tokens, CoinDesk reported.   

The issuers will no longer have to pay the capital gains tax of around 35% on unrealized gains, according to the report. 

The change in national tax code aims to bolster Japan's crypto industry, which saw a huge exit of firms in 2021. The country, through its new tax plan, hopes to draw in more crypto businesses.

 

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About Author

MK Manoylov has been a reporter for The Block since 2020 — joining just before bitcoin surpassed $20,000 for the first time. Since then, MK has written nearly 1,000 articles for the publication, covering any and all crypto news but with a penchant toward NFT, metaverse, web3 gaming, funding, crime, hack and crypto ecosystem stories. MK holds a graduate degree from New York University's Science, Health and Environmental Reporting Program (SHERP) and has also covered health topics for WebMD and Insider. You can follow MK on X @MManoylov and on LinkedIn.

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