Odaily News: The Japan Blockchain Association (JBA) has called on the government to modify the tax system to accommodate cryptocurrencies. JBA claims that its review of the current tax system indicates that the growth of Web3 businesses is hindered in Japan.



Specifically, it requests that the individual transaction tax be set at a flat rate of 20% and that taxes on profits generated from cryptocurrency transactions be eliminated. According to statistics from the Japan Virtual and Crypto Assets Exchange Association, as of April 2023, there are approximately 6.8 million cryptocurrency accounts opened. JBA believes that an increase in investment would occur if the tax system is modified.



JBA also calls for the elimination of the year-end unrealized profit tax on third-party issuances of tokens, stating that companies no longer need to sell their held tokens for tax purposes. This would lower the entry barriers for Web3 businesses.



Earlier this week, Japanese Prime Minister Fumio Kishida expressed that Web3 has the potential to reshape the traditional internet framework and contribute to social change. The government is actively working towards creating a favorable environment for promoting Web3. (CoinPost)