In 2023, Gyeonggi Province, the most populous province in South Korea, collected millions of dollars from tax evaders by tracking their crypto assets on several centralized exchanges. According to a report by local media Yonhap News Agency, the Gyeonggi Tax Justice Department accrued 6.2 billion won ($4.67 million) in undeclared taxes from evaders by using...Read More
South Korea’s ruling People Power Party is reportedly advocating for a further two-year taxation postponement on cryptocurrency investment gains, which appears to be part of the party’s campaign for the general election coming in April. Notably, the program was scheduled earlier for 2023 and rescheduled to January 2025, and the current People Power Party request...Read More
Despite India’s controversial crypto policy and lack of clarity in several aspects, the country emerges as the top market. According to a new report by crypto exchange CoinDCX, 28 Indian entities became ‘FIU-Registered Reporting Entity.’ India emerged as a global crypto adoption leader, reflecting sustained interest and robust demand for digital assets. India Defies Crypto...Read More
According to a report from the Internal Revenue Service (IRS) criminal investigations division, tax evasion has emerged as a significant area of focus in crypto investigations. More than half of all probes conducted in the last fiscal year were related to tax matters. This news coincides with the IRS actively seeking input from stakeholders on...Read More
On December 5, 2023, Lugano, a Swiss City, announced the incorporation of the cryptocurrencies Bitcoin (BTC) and Tether (USDT) for tax and other municipal fee payments. This makes part of Lugano’s collaborative plans with Tether, Plan B, fashioned to revitalize the City’s financial system using Bitcoin tech. Lugano Dives into the World of Crypto Before...Read More
The Brazil Senate has approved new rules that will mandate locals to pay up to 15% tax on income generated from cryptocurrencies on offshore exchanges. According to a live recording from the Federal Senate, the new rule applies to crypto users with assets worth more than R$6,000 ($1,200) on all offshore exchanges. Brazilian Crypto Users...Read More
With growing efforts to regulate the taxation of virtual assets around the world, Spain has introduced new laws requiring residents holding crypto assets on non-Spanish platforms to declare them by March 31, 2024. The Spanish Tax Administration Agency – Agencia Tributaria – unveiled form 721, a dedicated tax declaration form for virtual assets held abroad....Read More
The Indian government has lost $420 million in what could have been a substantial revenue stream as a result of its taxation, forcing traders to move their transactions outside the country. Experts are now suggesting that the Indian government should take a more relaxed approach to its controversial stance on crypto taxation. According to a...Read More
Amir Bruno Elmaani, famously known in the cryptocurrency world as “Bruno Block” and the founder of the Oyster Protocol has been sentenced to four years in prison for tax offenses amounting to over $5.5 million. The United States Attorney for the Southern District of New York, Damian Williams, announced the verdict, highlighting the severity of...Read More
The Internal Revenue Service (IRS) has ruled that U.S. cryptocurrency investors must include staking rewards in their gross income since crypto assets are treated as property for federal income tax purposes. According to an official document, taxpayers must include the fair market value of their staking rewards in their gross income as soon as they...Read More
Kraken has been ordered to turn over sensitive user information for clients that had transactions worth in total over $20,000 over the course of a year. The tax agency said it wants to determine whether crypto investors have been cheating on their tax reports. The IRS filed the initial court petition in the Northern District...Read More
Japan’s National Tax Agency published a partial revision of its corporate tax guidelines on June 20. They include a new set of rules for digital token issuers scrapping the previous taxes on unrealized gains from crypto assets issued by companies. The new tax rules would “make it easier for cryptocurrency-related companies to do business in...Read More
Speaking at the final day of the G7 summit in Japan, U.S. President Joe Biden addressed ongoing debt default talks saying he would not back a deal that supports tax cheats and crypto traders. “I’m not going to agree to a deal that protects wealthy tax cheats and crypto traders while putting food assistance at...Read More
The government of Kenya plans to impose a 3% tax on cryptocurrency transfers to narrow the fiscal deficit of the country and boost its domestic revenues. Kenya is among the leaders on the African continent in terms of crypto adoption. Patrick Njoroge – Governor of the Central Bank – has previously suggested that bitcoin could...Read More
According to a study conducted by the Swedish tax firm Divly, only 0.53% of cryptocurrency investors globally paid taxes on their trades last year. The average share of people abiding by the rules varies in different countries. For example, over 4% of Finnish investors have paid taxes, while only 0.03% of those in the Philippines...Read More
Indian tax authorities collected Rs 158 crore (approx. $19 million) in TDS on the transfer of virtual digital assets (VDA) till March 20, Minister of State for Finance Pankaj Chaudhary told the Parliament on Tuesday. Given that the financial year ended on March 31, it can be taken as the final figure for the entire...Read More
The Supreme Court of Denmark ruled that people should be subject to taxation when generating profits by selling bitcoin. The legislation will apply to both investors and miners. The Court’s Decision Højesteret – the third and final instance in all civil and criminal cases in the Kingdom of Denmark – announced on March 30 that investors...Read More
On Feb. 7, Reuters reported that the Thai Finance Ministry will waive corporate income tax and value-added tax for firms that conduct initial coin offerings (ICOs) for investment. According to government spokespeople, companies will have access to alternative methods of raising capital through token issuance in addition to traditional methods. The military-backed Thai government estimated...Read More
The world’s largest cryptocurrency exchange has launched a new tool dubbed Binance Tax to enable users to understand their crypto tax liabilities on up to 100,000 transactions. According to a press release shared with CryptoPotato, the new feature aims to help customers stay up-to-date with their crypto-related tax liabilities. Details of Binance Tax Binance noted...Read More
Months of lobbying by Indian and global crypto firms to see if the local tax laws will provide some leeway proved futile. The Indian Finance Minister, in her budget speech for the 2023-24 fiscal, did not mention crypto or virtual assets at all. No relief in existing crypto taxes has been granted. Crypto Taxes Unchanged ...Read More
In a significant development that indicates that the Indian government may not fully chime with the central bank’s overly hostile stance against cryptocurrencies, a junior minister explained that such activities are fine as long as they follow existing laws. This is in sharp contrast to the Reserve Bank of India’s (RBI) ban on crypto in...Read More
The National Tax Service (NTS) of South Korea has reportedly hit Bithumb Korea and Bithumb Holdings with a “special tax investigation” to determine whether the cryptocurrency platform has complied with domestic taxation laws. The officials have also probed Kang Jong-hyeon (rumored to be the actual owner of the exchange) and his sister – Kang Ji-yeon. ...Read More
While Indian crypto exchanges lost a significant portion of their trading volume after new taxes for the sector came into force, the losses, so far, were referred to in percentage terms, with most estimates quoting them to be above 90%, compared to the previous year. Now, a new study has quantified the value of cumulative...Read More
A junior finance minister told the Indian parliament on Tuesday that the government has collected about $7.4 million in TDS on crypto transfers since July 1. Given the low numbers, the government may consider the local crypto industry’s demand to reduce the tax to a reasonable level – in the range of 0.01% to 0.05%....Read More
The Japanese government greenlighted a bill to exempt local cryptocurrency issuers from paying corporate tax on their holdings. The ruling body currently requires such firms to pay 30% on their ownings even if they haven’t gained profits through a sale. Japan’s ruling political party – The Liberal Democratic Party – aims to ease corporate tax...Read More
A prominent Indian cryptocurrency trade body – Bharat Web3 Association (BWA) – has red-flagged the high taxes and regulatory uncertainty in its draft of concerns and recommendations submitted to the Indian Finance Ministry, which is holding consultations in the run-up to the budget for 2023-24. A meeting between the BWA representatives and the Indian finance...Read More
The government of Italy is reportedly looking to enforce strict rules on the local crypto space by imposing a 26% tax on profits generated from digital asset trading. However, residents who earn less than €2,000 ($2,090) per year from dealing with bitcoin or altcoins will be excluded from the possible upcoming legislation. Italy’s Next Crypto...Read More
Binance CEO Changpeng Zhao (CZ) has all but given up on India. Pointing out the 1% transaction tax that came into force on 1 July 2022, CZ said it makes crypto trading unviable in India. Speaking at the TechCrunch Session: Crypto 2022 on November 17 in Miami, CZ further pointed out that Binance is engaged...Read More
Hundreds of crypto-related cases are piling up at the Internal Revenue Service (IRS)’s Criminal Investigation division. According to division chief Jim Lee, many of these cases will be made public soon, of which are largely related to tax. Evading Taxes With Crypto As reported by Bloomberg Tax, some of his division’s most common cases are...Read More
The US Internal Revenue Service is ramping up its efforts to collect taxes from crypto traders regardless of a 70% market slump. The tax department has obtained a court order authorizing summons for records of US taxpayers that failed to report transactions and pay taxes on crypto profits. Specifically, the IRS will issue what is...Read More
