According to media reports, Japan’s Financial Services Agency, the country’s financial regulator, is weighing on abandoning the 8% sales tax which bitcoin and other cryptocurrencies are currently subject to.<\/p>\n
<\/p>\n
Japan is the only G7 nation to have such kind of a tax. In accordance with the legislation that had passed earlier this year, cryptocurrencies are to be treated similar to some other means of payment, like prepaid cards.<\/p>\n
\u00e2\u20ac\u015bDiscussions between the Finance Ministry and Financial Services Agency are expected to lead to a formal decision after talks by a ruling-coalition tax panel at the end of the year,\u00e2\u20ac\u0165 <\/strong>the agency’s reports.<\/p><\/blockquote>\n
Bitcoin purchases in Japan are currently subject to an 8% sales tax.<\/p>\n
The issue of bitcoin taxation was raised earlier this year by Tsukasa Akimoto, a member of Japan’s ruling Liberal Democratic Party.<\/p>\n
\u00e2\u20ac\u015bCan’t you consider not imposing consumption tax on bitcoins in line with the international trend?\u00e2\u20ac\u0165 <\/strong>Akimoto asked the country’s finance minister Tar\u0139\u0164 As\u0139\u0164 back then.<\/p><\/blockquote>\n
Reportedly, the minister replied that Japan was not the only country to do so.<\/p>\n
Now, should the talks turn out successful, bitcoin and other digital currencies would be exempt from taxation thus seriously cutting administrative costs for local exchanges, and therefore, local cryptocurrency users.<\/p>\n