According to the report from Japanese media “CoinPost”, after the Japanese Cabinet approved the revision of the digital asset tax system, Japanese companies will no longer need to pay taxes on the “unrealized gains” of their held cryptocurrencies starting from April next year.
The Japanese government announced the new tax reform outline after a cabinet meeting last Friday (22nd). The bill will be submitted to the Diet session in January next year and will require approval from both houses. The new changes are scheduled to be implemented on April 1, 2024.
Prior to this, Japanese companies were required to report the amount of cryptocurrencies they held from third parties based on the difference between market value and book value, regardless of whether the company sold the cryptocurrencies. However, now companies only need to pay taxes on the profits obtained from selling cryptocurrencies, similar to the regulations that individual investors must comply with under Japanese tax law.
