Major

Prime

Planet

Threshold

Raise

<div class="intro-text"> 
 Japan’s Prime Minister Shigeru Ishiba has pledged to incorporate tax cut proposals from the opposition Democratic Party for the People (DPP) into the government’s upcoming economic stimulus package. This initiative includes measures targeting gasoline and cryptocurrency taxes, as<a href="https://www.bloomberg.com/news/articles/2024-11-20/japan-s-stimulus-package-gets-dpp-nod-with-tax-talk-inclusion?srnd=phx-crypto"> reported</a> by Bloomberg on November 20. 
</div> 
Ishiba secured approval for the stimulus plan after committing to consider the DPP’s annual tax reform recommendations. These recommendations focus on income tax reform, corporate incentives, and temporary tax relief. Key measures include raising the tax-free income threshold from ¥1.03 million ($6,650) to ¥1.78 million ($11,435) for the first time in over 30 years and introducing a flat 20% tax rate on cryptocurrency profits like stock market taxes in the country. Currently, crypto gains in Japan are taxed as “miscellaneous income,” with rates reaching up to 55%, depending on individual income levels.&nbsp;&nbsp; 
The DPP is also pushing for temporary sales tax cuts to 5% until wages rise by 2%, along with incentives for companies to increase salaries and invest in industries like semiconductors and artificial intelligence. 
DPP senior official Makoto Hamaguchi underscored the party’s determination to raise the tax-free income threshold, labelling it a crucial reform overdue for decades. 
<blockquote>
 “Japan’s tax-free income bar has not moved in the past 30 years, and we are determined to change that,” 
</blockquote> 
Hamaguchi reportedly stated. 
The stimulus package, including these proposals, is expected to be unveiled this week. Both ruling and opposition parties also agreed to finalize budget increases to support the package by the end of December. 
Crypto tax reform has been a central theme for DPP leader Yuichiro Tamaki. He recently<a href="https://defi-planet.com/2024/10/japans-opposition-leader-champions-crypto-friendly-tax-reforms-ahead-of-october-27-election/"> proposed</a> eliminating taxes on crypto-to-crypto transactions to foster a Web3 economy focused on NFTs. 
Tamaki’s broader vision includes increasing leverage ratios from 2x to 10x and introducing cryptocurrency ETFs. According to him, these reforms aim to modernize Japan’stax policies, boost its token economy, and provide financial relief to households.&nbsp;&nbsp; 
If you want to read more news articles like this, visit <a style="color: #0000ff;" href="https://defi-planet.com/">DeFi Planet</a> and follow us on <a style="color: #0000ff;" href="https://twitter.com/PlanetDefi">Twitter</a>, <a style="color: #0000ff;" href="https://www.linkedin.com/company/defi-planet/">LinkedIn</a>, <a style="color: #0000ff;" href="https://www.facebook.com/DeFi-Planet-129907662611402">Facebook</a>, <a style="color: #0000ff;" href="https://www.instagram.com/defi.planet/">Instagram</a>, and <a style="color: #0000ff;" href="https://coinmarketcap.com/community/profile/DeFiPlanet/">CoinMarketCap Community.</a> 
“Take control of your crypto portfolio with MARKETS PRO, DeFi Planet’s suite of analytics tools.” 
The post <a href="https://defi-planet.com/2024/11/japan-to-reform-crypto-taxes-raise-tax-free-income-threshold-in-major-economic-package/">Japan to Reform Crypto Taxes, Raise Tax-Free Income Threshold in Major Economic Package</a> appeared first on <a href="https://defi-planet.com">DeFi Planet</a>.

Japan to Reform Crypto Taxes, Raise Tax-Free Income Threshold in Major Economic Package

DeFi Planet

Other articles published on Nov 20, 2024

Phantom takes second spot in Apple’s US App Store utilities category

Arbitrum DeFi Protocol Thala Labs Recovers $25M After Exploit on Nov. 15

‘Free Roger’ Ver gains momentum, Charles Hoskinson adds support as open letter reaches 2,744 sign...

Dogecoin (DOGE) Trader Backs Emerging Meme Token to Transform $750 Into $300,000 With a 40,000% R...

XRP Price Abruptly Soars Beyond $10 Million On Major Exchanges

ShardLab Brings NFT Ticketing to South Korea’s Naver Pay

Join our free newsletter for daily crypto updates!