A group of Cryptocurrency lobbying groups in Japan has disclosed plans to lobby for the reduction of tax charged by the government on Cryptocurrency.
This, according to a report by Bloomberg’ is intended to eliminate talent flight, especially of local investors in the country.
The groups, under the aegis of the Japan Cryptoasset Business Association and the Japan Virtual and Crypto assets Exchange Association, announced that they will soon submit a proposal to Japan’s Financial Services Agency.
According to Bloomberg’s report, “the proposal aims to lower tax regulations and establish a better environment for domestic digital asset businesses. Currently, profit from cryptocurrency holdings, including unrealized gains, is subject to corporate tax of about 30%. Individual crypto investors could be taxed for up to 50%.
“If the proposal is approved, local businesses won’t be required to pay taxes on the paper gains they make on crypto investments if held for reasons other than short-term trading. The proposal will reach monetary watchdogs as early as this week.”
The report also quoted Sota Watanabe, the Chief Executive Officer of Web 3.0 infrastructure developer Stake Technologies Pte stating thus”Japan is an impossible place to do business. The global battle for a Web3 hegemony is underway, and yet, Japan isn’t even at the start line,” Sota Watanabe, Chief Executive Officer of Web 3.0 infrastructure developer Stake Technologies Pte told Bloomberg The hostile crypto environment forces local companies to relocate to Singapore and other nations with more welcoming policies. The proposal from the lobbying organization hopes to buck this trend and keep the majority of Japanese crypto talent in the country.”