Thailand is fast-tracking its crypto tax plans as it readies regulations for digital asset traders this month in an effort to provide further clarity on crypto-related activities.<\/p>\n
The Thai revenue department\u2019s director-general has stated that clear criteria for calculating taxes on crypto trading profits will be finalized this month.<\/p>\n
The statement comes less than a week after the Southeast Asian country\u2019s government unveiled plans to\u00a0levy cryptocurrency traders and miners with a 15% capital gains tax.<\/p>\n
Thai Prime Minister Prayut Chan-o-cha had instructed the revenue department to brainstorm the issue and provide clarification for investors and the public according to a Tuesday Bangkok Post\u00a0article.<\/p>\n
The department has already been in discussion with the Bank of Thailand, the Securities and Exchange Commission and the Stock Exchange of Thailand.<\/p>\n
On Sunday, the Thai Digital Asset Association contacted the revenue department, seeking clarity on capital gains and withholding taxes according to local\u00a0media. Association President Suppakrit Boonsat said:<\/p>\n
\u201cMost cryptocurrency investors are ready to pay tax but are concerned whether their move will violate the Revenue Code.\u201d<\/p><\/blockquote>\n
The concern among some traders is that back taxes or penalties may be applied to profits and trades conducted in previous years.\u00a0<\/p>\n
A government spokeswoman said there was no intention to hinder innovation and development in any industry, including fintech, but warned, \u201cIf we rush to support [crypto trading] without a thorough understanding, there may be a crypto crisis, similar to a financial crisis.\u201d<\/p>\n
The new tax would only be applicable to profits from traders and miners, not Thai digital asset exchanges, the largest of which\u00a0are affiliated with commercial banks and billionaire business moguls. Heavy penalties could be imposed on those failing to comply with the new filing requirements.\u00a0<\/p>\n