ChainCatcher News, Hong Kong plans to exempt private equity funds, hedge funds, and ultra-high-net-worth investment vehicles from taxes on cryptocurrency, private credit investments, and other asset returns.This week, the Hong Kong government stated in a 20-page proposal that taxation is "one of the main considerations" for asset management companies when deciding on the location of their business, and the Hong Kong government aims to create a "favorable environment" for them.According to the proposal, the Hong Kong government hopes to expand the scope of tax-exempt investments to include private credit, overseas real estate, and carbon emission allowances. The government is conducting a six-week consultation on the plan.

ChainCatcher news, according to Yonhap News Agency, the Strategic and Financial Committee of the South Korean National Assembly has canceled the scheduled plenary meeting. The main reason is that the ruling People Power Party advocates postponing the taxation of cryptocurrency for two years, while the opposition Democratic Party of Korea supports implementing it as originally planned.According to the plan, South Korea will impose a 22% tax rate on cryptocurrency trading gains exceeding 2.5 million won. The Democratic Party of Korea proposed raising the tax exemption threshold from 2.5 million won to 50 million won, while the People Power Party believes that the current tax infrastructure is not yet完善, and that opportunities for asset appreciation should be provided for young people.The cancellation of this meeting also affects the previously agreed proposal for the abolition of the financial investment income tax by the two parties. According to regulations, if the relevant bill is not passed by the Standing Committee before November 30, but is related to the budget proposal, it can still be submitted for consideration at this meeting.

ChainCatcher news, the Seoul News reported that the ruling party in South Korea intends to push forward with the plan to tax cryptocurrency gains starting in early 2025, rather than approving further delays.Initially, a 20% tax on cryptocurrency gains (plus local taxes for a total of 22%) was set to take effect on January 1, 2022. Due to strong opposition from investors and industry experts, the plan has been postponed twice to January 1, 2025. According to local media reports, despite discussions and proposals for further delays, with some suggesting implementation starting in 2028, the Democratic Party of Korea (DPK) remains committed to implementing the tax plan on time.However, the party is modifying the plan, raising the tax exemption limit for cryptocurrency gains below 2.5 million won ($1,795) to 50 million won ($35,919). The Democratic Party plans to pass the amendment in the National Assembly's tax subcommittee on November 25 and in the full session of the National Assembly on November 26.

ChainCatcher news, the Planning and Finance Committee of the Korean National Assembly held a subcommittee meeting to discuss issues related to the postponement of cryptocurrency asset taxation, but ultimately decided to table the proposal. This decision was made to prioritize the review of other proposals, and the tabled proposals will be compiled for further discussion.The topics discussed in the meeting included: postponement of cryptocurrency asset taxation, calculation of acquisition prices, scope of tax data submission, and adjustments to the basic deduction amount, but no conclusions were reached. Currently, there is a significant divergence between the ruling party and the opposition regarding the postponement of cryptocurrency asset taxation. If the plan proceeds as scheduled, the relevant proposals are expected to resume discussions next week.

ChainCatcher news, according to Forbes, the Legislative Activity Committee of the Russian government is advancing a cryptocurrency tax bill on November 11, 2024. The bill defines cryptocurrency as property and establishes different tax requirements for individual and corporate miners. Under the new regulations, businesses must register with the Federal Tax Service to legally conduct mining operations, while individuals with monthly electricity consumption below 6000 kilowatt-hours are exempt from registration.The new framework adopts a two-stage taxation model: the first stage taxes when cryptocurrency is received, with the tax base calculated based on the closing price of major exchanges; the second stage taxes upon sale, with additional taxes applied if the sale price exceeds the initial taxable value. Starting in 2024, individual traders and miners with annual income exceeding 2.4 million rubles will be taxed at a progressive rate of 13% to 22%, while the corporate tax rate will increase to 25% in 2025.According to the Industrial Mining Association, these tax measures could bring in 50 billion rubles (approximately 521 million USD) in annual revenue for the budget.

ChainCatcher news, South Korean Democratic Party spokesperson Noh Jong-myun stated that the ruling party's plan to postpone the virtual asset taxation plan for two years is "unacceptable." (News1)According to previous reports, South Korean political parties recently reached an agreement to cancel the planned financial investment income tax, and the cryptocurrency capital gains tax originally scheduled for implementation in 2025 is now more likely to be postponed until 2027.In July, the South Korean government proposed a tax law amendment that includes the postponement of the cryptocurrency capital gains tax, but due to the Democratic Party's opposition to other tax reduction policies of the government, the passage of this amendment has remained uncertain.

ChainCatcher news, according to the Korea Economic Daily, in light of the recent agreement reached by various political parties in South Korea to cancel the planned financial investment income tax, the cryptocurrency capital gains tax originally scheduled to be implemented in 2025 is now more likely to be postponed until 2027. A Democratic Party official stated that it is now deemed necessary to delay the cryptocurrency capital gains tax to maintain fairness.The South Korean government proposed a tax law amendment in July that includes the postponement of the cryptocurrency capital gains tax, but there has been uncertainty regarding the passage of the amendment due to the Democratic Party's opposition to other tax reduction policies proposed by the government. Democratic Party member Min Byoung-dug emphasized that before legally taxing the income from the virtual asset industry, legal recognition of the industry must first be established, thus he supports the current decision to postpone taxation on virtual assets.

ChainCatcher news, according to Coindesk, the Netherlands has started consultations on the cryptocurrency tax reporting bill and hopes to gather stakeholder opinions before submitting the cryptocurrency tax reporting bill to the House of Representatives in the first half of 2025. The purpose of the bill is to increase transparency and prevent tax evasion and avoidance. It is reported that the consultations will end on November 21.

ChainCatcher news, the Dutch government has sought public opinion on a proposed law that would require cryptocurrency service providers (such as exchanges) to collect and share user data with local tax authorities to comply with EU regulations.The Dutch Ministry of Finance stated in a press release on October 24: "The purpose of this bill is to increase the transparency of cryptocurrency ownership to prevent tax evasion and avoidance."Under the new law, tax authorities will share data collected by service providers regarding residents of these countries with tax authorities in other EU countries, as stipulated by the EU-wide cryptocurrency tax reporting rules (i.e., DAC8) passed last year. The ministry explained that these rules reduce the administrative burden on cryptocurrency service providers because "they only need to report in the EU member state where they are registered."

ChainCatcher News, Japanese Democratic Party leader Yuichiro Tamaki proposed a cryptocurrency tax plan that would lower the tax on crypto gains to 20% if he is elected.Tamaki stated in an X post: "If you believe that crypto assets should be taxed separately at a rate of 20% rather than treated as miscellaneous income, please vote for the Democratic Party for the People."However, the plan may be far from realization, as the Democratic Party currently holds only 7 of the 465 seats in the House of Representatives of Japan (the lower house of the National Diet).According to Tamaki's plan, exchanging one cryptocurrency for another would not trigger any tax events.

ChainCatcher news, according to Cointelegraph, at the 2024 peer-to-peer financial systems seminar, legal practitioner Amit Kumar Gupta presented a research paper on cryptocurrency taxation in India.Gupta stated that India imposes heavy taxes on the cryptocurrency industry and blockchain sector, but it is unregulated, reflecting their lack of understanding of the technology, as they believe these technologies are only used for illegal purposes such as money laundering and terrorist financing.

ChainCatcher news, according to Bitcoin.com, Ohio Senator Niraj Antani has proposed a bill to legalize cryptocurrency payments for state and local taxes.It is reported that the bill emphasizes the importance of cryptocurrency in the current economy, requiring Ohio to accept digital currencies like Bitcoin and allowing the state pension system to invest in these currencies. Antani highlighted Ohio's historical role in the adoption of cryptocurrency.

According to ChainCatcher news, Turkey has decided not to proceed with new taxes on stock market and cryptocurrency gains, as stated by Vice President Cevdet Yilmaz. Although it had been discussed previously, the plan has been abandoned, and the government is now focusing on reducing tax exemptions. This shift stems from concerns about the stock market and broader efforts to stabilize the economy and reduce inflation.

ChainCatcher News, Japan's financial regulatory agency has released a comprehensive tax reform plan for the fiscal year 2025, which includes provisions for cryptocurrency to lower its tax rate.In the tax reform request on August 30, the Financial Services Agency (FSA) of Japan emphasized cryptocurrencies, advocating for them to be treated as traditional financial assets available for public investment. The FSA stated, "Regarding the tax treatment of cryptocurrency transactions, cryptocurrencies should be regarded as financial assets and should become investment targets for the public."According to the cryptocurrency accounting firm TokenTax, profits from cryptocurrencies in Japan are currently taxed as miscellaneous income, with tax rates ranging from 15% to 55%.

ChainCatcher news, Switzerland is considering incorporating cryptocurrency tax data into its international information exchange agreements.The Federal Council launched a consultation procedure for a new bill on Wednesday. The bill aims to facilitate the sharing of cryptocurrency asset information with 111 jurisdictions. These jurisdictions are currently part of the automatic information exchange. Sharing depends on whether they comply with the OECD's cryptocurrency asset reporting framework.Switzerland has long been at the forefront of cryptocurrency adoption. Places like Lugano have been pioneers in accepting cryptocurrencies such as Tether (USDT) and Bitcoin (BTC) for tax purposes. The country's political framework allows the Federal Tax Administration to classify Bitcoin as a means of payment. Therefore, Bitcoin is exempt from Value Added Tax (VAT).The Federal Council's goal is to determine the start date for the automatic exchange of cryptocurrency-related information with its partner states. The consultation period for the proposed legislation will end on November 15, 2024.

ChainCatcher news, according to CoinDesk, the Internal Revenue Service (IRS) released an updated draft version of tax form 1099-DA for cryptocurrency brokers and investors to report certain transaction gains yesterday, giving the public 30 days to provide feedback to the IRS on this version.Starting in 2026, cryptocurrency investors using brokers (currently mainly referring to CEXs like Coinbase and Kraken) will receive 1099-DA forms from these brokers to report certain cryptocurrency sales and transactions to the IRS as taxable events. IRS officials stated that this form will "bring more convenience and clarity" to users paying U.S. crypto taxes.The newly released version of 1099-DA is more streamlined than the initial draft of the tax form proposed by the IRS in April. The requirement for investors to fill in wallet addresses and transaction IDs has been removed (which had previously raised privacy concerns when the form was first published), and it is no longer necessary to provide the time of the related transactions, only the date.Drew Hinkes, a partner at Miami law firm K&L Gates and a cryptocurrency lawyer, commented that the updated form "has seen significant improvements, reducing the reporting burden and greatly decreasing the amount of data required."

ChainCatcher news, according to CoinDesk, Indian Finance Minister Nirmala Sitharaman stated in the 2024-2025 budget speech that the current cryptocurrency tax regulations will remain unchanged.Although the Indian crypto industry proposed to reduce the Tax Deducted at Source (TDS) on crypto transactions from 1% to 0.01% and sought to implement a progressive tax rate on gains instead of a fixed 30% rate, these proposals were not adopted. This budget is the first since Prime Minister Narendra Modi was elected for a third consecutive term.