Japan revised consumption tax laws on Bitcoin on last Saturday, July 1. Bitcoins transactions no longer incur consumption tax of 8%
Similarly, Australia also ended Bitcoin double taxation.
Normally, a consumption tax increase was expected, but early June, Shinzo Abe, the Japanese Prime Minister announced that this increase was postponed until October 2019.
And now they are no longer subject to this tax during their operations in the crypto-currency markets.
Although the Japanese do not have to pay this tax during their crypto-transactions, they remain subject to other taxes like income tax, capital gain tax.
Thus, individuals and professionals pay no more than 8% on each transaction, but are subject to income tax and capital gain tax respectively.
According to Yuzo Kano, CEO of Bitflyer (the largest Japanese market in volume on crypto-currencies), this will lead to 3 points:
These elements should boost sales and transactions of Bitcoin in Japan and infuse new momentum into this crypto-economy.
We can expect to see a significant increase in transactions in crypto-currencies in the land of the rising sun.
(Also Read: 18 companies are applying for Cryptocurrency Exchange in Japan)
After over a year of promise, the government of Australia has offically announced in it’s 2017-18 Budget that Digital Currencies such as Bitcoin will no longer be Double Taxed.
From July 1, purchases of digital currencies will no longer be subject to the Goods and Sevice Tax (GST).
Initially, before this policy, Australian consumers using Bitcoins could find themselves paying GST twice:
KryptoMoney.com posts latest news and updates about Bitcoin, Cryptocurrencies , Blockchain Technology and upcoming ICO’s.
Subscribe to our newsletters and join us on Telegram to stay updated.
Keep in mind that we may receive commissions when you click our links and make purchases. However, this does not impact our reviews and comparisons. We try our best to keep things fair and balanced, in order to help you make the best choice for you.