Crypto Taxes Become Among Election Promises in Japan! Here Are the Details
Democratic People's Party (DPP) leader Yuichiro Tamaki wants to cap taxes on cryptocurrency earnings at 20%.
Yuichiro Tamaki, leader of Japan’s Democratic People’s Party (DPP), has announced a bold policy proposal to cap taxes on cryptocurrency earnings at 20%.
Japan's DPP Leader Proposes 20% Tax Cap on Crypto Earnings Ahead of General Elections
The promise comes as part of the party’s campaign ahead of the October 27 general election, where it hopes to gain traction among crypto-friendly voters.
A Change from Current Tax Policy
Japan's current tax regime treats cryptocurrency earnings as miscellaneous income, which can lead to taxes of up to 55%.
Tamaki’s proposal advocates for a flat 20% tax on crypto profits, bringing the taxation framework closer to that used for stocks and other financial assets. It also proposes tax exemptions for crypto-to-crypto exchanges to reduce friction in trading.
“If you believe cryptocurrency should be taxed at a flat 20% rate instead of miscellaneous income, please vote Democratic for the People,” Tamaki wrote on X.
He also stressed that “Japan should aim to become a major cryptocurrency nation through deregulation and tax reform.”
Tamaki’s policy presentation outlines further measures to revitalize Japan’s crypto market:
- Encouraging greater participation in the market by increasing the leverage limit for individual investors from 2x to 10x.
- Introducing cryptocurrency ETFs to attract more institutional investors.
- Based on tax revisions approved by the government last December, there will be no tax on unrealized crypto gains for companies that hold the assets long-term.
“With leverage currently capped at 2x, there is little incentive for speculators to enter the market,” said Daiki Moriyama, director of blockchain startup Oasys.
He added that trading volumes on Japanese crypto exchanges remain low, forcing them to struggle with profitability.
*This is not investment advice.
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
You may also like
Ripple founder has donated more than $11.8 million to Harris
Share link:In this post: Ripple’s chairman, Chris Larsen, has reportedly donated over $11 million toward the U.S. vice president’s campaign. Recent election data indicates the crypto industry donated more to Kamala Harris ahead of the United States general elections. According to a recent report by Public Citizen, almost half of the corporate funds donated to the election campaigns are from the crypto industry.
Japan cracks Monero money laundering case, arrests 18
Share link:In this post: Japan’s police arrested 18 people, including Yuta Kobayashi, for laundering over 100 million yen using Monero, a privacy-focused cryptocurrency. Kobayashi’s group used stolen credit card info and made 900 fraudulent transactions through the flea market app Mercari. Japan’s crypto market is booming with 3.7 million active accounts, but fraud remains a major issue despite strict regulations.
Silent Hill 2 Remake update 1.04 released with improvements in technical performance
Share link:In this post: Silent Hill 2 Remake receives its first major update. Bloober Team has addressed several major bugs and issues in the gameplay. The new update also brings about technical improvements
Sushi unveils Super Swap roadmap to enhance multi-chain capabilities
Share link: