An announcement has been made by the Japanese NTA (Tax Agency) regarding the newly-released strategic policy for cryptocurrency tax. In the announcement, NTA has confirmed that any individuals who earn over $1,800 a year in cryptocurrency should declare their income tax returns. NTA also planned to simplify the cryptocurrency tax declaration for a better security of payment system.
The Australia Tax Office (ATO) has made it clear that investors who are trading cryptocurrencies offshore are not exempted from tax obligations. The deputy commissioner of ATO, Martin Jacobs explained, “We have a range of existing powers that are designed to address unexplained wealth and conspicuous consumption that may arise through profits derived through cryptocurrency investment.”
The tax authorities from five countries have formed a Joint Chiefs of Global Tax Enforcement (J5) consortium. The alliance is aimed at curtailing tax evasions and money laundering activities. The group is also aimed at the prevention of threats imposed by cryptocurrencies to the tax administrations. The group would have representatives from each country as the member.