Breaking from the G20: Crypto Taxation System Soon to Be Developed

[PRIBO247]

During the G20 summit in Buenos Aires, Argentina, a
declaration was passed to create an international
taxation system for cryptocurrencies, according to the
Japanese news outlet, Jiji.com

INTERNATIONAL CRYPTO TAXATION WHILE CUTTING BACK ON MONEY LAUNDERING   

According to Jiji, the G20 leaders seek to develop the
taxation system for crypto with a “huge IT company” in
mind. The G20 will issue a report during 2019 when
Japan will have the presidency over the summit,
finalizing the report by 2020. In addition to the plans to
set up the international taxation system, the G20 also
launched a policy to regulate money laundering that
involves cryptocurrencies.

On the Japanese side, according to Jiji, the current
international rules make it impossible to request tax
from a foreign organization that does not have an office
or any physical location in Japan. However, this is not
a Japan-only case; international laws do not allow
most countries to tax companies without physical
bases in that specific country.

“We will seek solutions for the international taxation
issue accompanying the digitization of the economy
and will continue to collaborate,” the G20 stated in the
declaration. While the leaders said that they are
showing full cooperation towards creating a cross-
border crypto tax system, they will also introduce
measures to cut back on the tax avoidance of
multinational corporations.

According to the Japanese news agency, while the UK
and the EU are on the pro-regulation side, the United
States and China are cautious about developing an
international taxation system for cryptocurrencies. Jiji
stated that they expect a battle at next year’s G20
summit where Japan will be the leader, so the country
will likely to be forced to take a difficult step in this
case.

Source : https://cryptopotato.com