Yuichiro Tamaki, the leader of Japan’s Democratic Party for the People (DPP), announced a cryptocurrency tax plan aimed at reducing the tax on crypto gains to 20%.
This proposal is part of a broader strategy to leverage Web 3.0 technologies to bolster Japan's economy and enhance take-home pay amid inflation concerns, according to the announcement made on October 20.
"If you think crypto assets should be taxed separately at 20% instead of treated as miscellaneous income, please vote for the Democratic Party for the People," emphasized Tamaki in a recent post. He also highlighted the party’s intention to make Japan a leader in the Web3 industry, reinforcing the potential of these technologies to drive national progress.
The proposed tax rate on crypto gains would align with the current taxes on stock market profits and introduces a no-tax event for exchanging one crypto asset for another. "I would appreciate it if you could spread the word about these promises made by the Democratic Party for the People," said Tamaki.
Despite the DPP holding only a small fraction of the seats in Japan’s House of Representatives, the party's dedication to these fiscal reforms underlines its commitment to addressing both inflation and the advancement of digital finance. The elections scheduled for October 27 will be a test of the DPP’s influence and its vision for Japan's financial future.
In contrast to the current crypto tax rates, which can reach up to 55% depending on personal income, Tamaki’s plan offers a more equitable approach. This adjustment could affect both individual and corporate holders of digital assets, making it a cornerstone of the DPP's campaign to enhance economic conditions and promote innovation.