Most Japanese say they would buy more Bitcoin (BTC), Ethereum (ETH), and altcoins if the government agrees to reform the nation’s strict crypto tax rules.
This was the main takeaway from a survey of 1,500 adults conducted in April and commissioned by the Japan Blockchain Association (JBA).
However, their response to the follow-up question was telling. The question was: “Would you buy crypto/more crypto if the government were to set a flat 20% tax rate on crypto profits?” To this, 84% of the 191 respondents who said they hold crypto answered “yes.”
In response to the question: “Do you own BTC or other cryptoassets?” 13% of respondents responded in the affirmative.
At present, Japanese investors must declare their crypto-related profits on income tax returns, in the “other income” category. That means that depending on their tax brackets, crypto investors may have to pay taxes of up to 55% on their profits.
The JBA suggested that the survey shows that tax reforms would have a very noticeable effect on the trading volumes of domestic exchanges.
