Japan's leading crypto firms, including major exchanges, are joining forces to pressure the government for tax reforms. The Japan Blockchain Association (JBA), which comprises the nation's largest crypto exchanges and blockchain-related companies, aims to introduce new tax measures within the next year. The current tax laws require individual crypto traders to file their profits under "other income," resulting in high-earning individuals facing a staggering 55% tax rate, significantly higher than the 20% global average.

The JBA, led by Yuzo Kano, CEO of bitFlyer Holdings, is pushing for a new tax method involving separate self-reporting taxation and a flat 20% tax rate. Additionally, the association wants to eliminate income tax on profits from crypto-to-crypto trades, aligning with tax laws in many other countries. The JBA has outlined key demands, including separate self-reporting taxation, a flat 20% tax rate, loss carry-forward, and reform of leverage ratios.

Established in 2014, the JBA has achieved success in reforming crypto tax rules for corporations and remains committed to pushing for further changes to benefit individual traders. The united efforts of Japan's crypto firms demonstrate their dedication to creating a favorable environment for the industry. As the JBA continues to advocate for tax reform, the future of crypto trading in Japan looks promising.

The JBA's efforts aim to address the current tax laws, which can result in high-earning individuals facing a staggering 55% tax rate on their crypto earnings. The association's proposed amendments are aimed at enhancing the legal framework for cryptocurrency use in Japan, harmonizing it with global standards. This will not only benefit the industry but also contribute to its development in the rapidly changing landscape.

The crypto industry in Japan is stepping up its lobbying efforts against stringent taxes that hinder the growth of digital assets in the country. The JBA's proposed amendments are aimed at enhancing the legal framework for cryptocurrency use in Japan, harmonizing it with global standards. This will not only benefit the industry but also contribute to its development in the rapidly changing landscape.