According to Mars Finance, Nikkei Asia reported that the Japanese government has supported changing the tax rate on crypto asset profits from the current progressive rate of up to 55% to a unified fixed rate of 20%, aligning it with other financial products such as stocks. This tax reform will be part of a proposal by the Financial Service Agency (FSA), planned to be submitted to Congress in early 2026. The Japan Blockchain Association (JBA) has advocated for this for nearly three years, arguing that the current high tax rate hinders the development of the domestic crypto market. The new tax system will be implemented alongside a stricter investor protection framework, including a ban on trading based on non-public information and enhanced disclosure requirements.
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The Japanese government supports reducing the tax on profits from Crypto Assets to a fixed rate of 20%.
According to Mars Finance, Nikkei Asia reported that the Japanese government has supported changing the tax rate on crypto asset profits from the current progressive rate of up to 55% to a unified fixed rate of 20%, aligning it with other financial products such as stocks. This tax reform will be part of a proposal by the Financial Service Agency (FSA), planned to be submitted to Congress in early 2026. The Japan Blockchain Association (JBA) has advocated for this for nearly three years, arguing that the current high tax rate hinders the development of the domestic crypto market. The new tax system will be implemented alongside a stricter investor protection framework, including a ban on trading based on non-public information and enhanced disclosure requirements.