The Japanese Government Is Working To Simplify The Filing Of Cryptocurrency Taxes

The Japan tax Commission is looking for ways to simplify the current system of filing tax returns for cryptocurrencies in order for investors to accurately indicate their income.

The Commission, which manages tax policy and advises the Prime Minister, held a meeting of the General Assembly on 17 October to discuss potential improvements to the process.

The Committee is reportedly planning a new system that would standardize the tax filing process and make it easier for taxpayers to calculate their profits on sales of digital assets against hard currencies and other cryptocurrencies.

Currently, the profit from the sale of cryptocurrencies in Japan falls under the category of “other income”. A sliding tax rate of 15 to 55 percent is applied, depending on the actual amount of profit above the threshold of 200,000 yen per year, or about $ 1,800.