ChainCatcher news, according to Cryptonews, in the fourth quarter of 2024, the demand for cryptocurrency mining machines and related services in Russia is expected to triple year-on-year. Sergey Bezdelov, chairman of the Industrial Mining Association, stated that this is due to new regulations allowing individuals and businesses to mine legally within a certain energy consumption range.The new regulations grant legal status to mining and require miners consuming over 6000 kilowatt-hours to register, but they still operate in a relatively relaxed regulatory environment. The Russian Ministry of Finance expects that cryptocurrency miner taxes could reach up to $500 million annually.Meanwhile, lawmakers have indicated that they may further simplify regulations, especially for businesses using cryptocurrencies to evade sanctions, in order to promote market development.

According to ChainCatcher, as reported by Bitcoin.com, the IRS has issued a temporary relief measure that is expected to benefit CeFi exchange users in 2025. This relief addresses concerns raised by the final version of Section 6045 regarding custodial broker regulations, which will take effect on January 1, 2025, requiring the use of a first-in, first-out (FIFO) accounting method for digital assets, unless preferred methods such as highest-in, first-out (HIFO) or Spec ID are chosen.Shehan Chandrasekera, the tax strategy lead at Cointracker, explained the issue, emphasizing that "as of January 1, 2025, almost all CeFi brokers are not prepared to support Spec ID." This lack of preparedness will force many cryptocurrency holders to default to FIFO accounting, potentially resulting in a higher tax burden during asset sales. He described, "In a bull market environment, this could be disastrous for many taxpayers, as you would inadvertently sell the earliest purchased assets first (often with the lowest cost basis), while unknowingly maximizing your capital gains."The IRS's temporary relief allows taxpayers to continue using their own records or tax software to identify the specific units being sold. The relief period only applies to CeFi transactions from January 1, 2025, to December 31, 2025. After this date, taxpayers will need to formally choose an accounting method with their brokers. Chandrasekera also emphasized the importance of synchronizing tax software with broker setups.

ChainCatcher news, according to the budget document released by the Ministry of Economy and Finance of Kyrgyzstan on December 25, this year the cryptocurrency mining tax contributed over 46.6 million Kyrgyz soms to the country's economy, approximately 535,000 USD.However, this is a decrease of more than 50% compared to the cryptocurrency mining tax collected in 2023, which was 93.7 million soms, worth slightly over 1 million USD.The cryptocurrency mining tax rate in Kyrgyzstan is 10% of the electricity costs used by the country's cryptocurrency miners, including value-added tax and sales tax. Due to the country's abundant untapped renewable energy, it is considered very suitable for conducting cryptocurrency mining operations.

ChainCatcher news, according to a report by Yonhap Infomax, South Korean acting president Han Duck-soo plans to announce a tax amendment at the Cabinet meeting scheduled for December 24, which includes postponing the taxation plan for virtual assets by two years.

ChainCatcher news, according to Coinpost, the Web3 working group of the Liberal Democratic Party's Digital Society Promotion Headquarters, led by Representative Akihisa Shiozaki, reported that the LDP's Policy Research Council officially approved the "Emergency Proposal on Transforming Cryptocurrency Assets into Beneficial National Economic Assets" on the 19th.The report pointed out that under the current tax system, income generated from cryptocurrency transactions is generally classified as miscellaneous income and is subject to comprehensive taxation at a maximum rate of 55% (combined income tax and resident tax), which is harsher than in other countries. The report also mentioned that the taxation of cryptocurrency assets is stricter than in other countries.In light of the above points, and whether cryptocurrency assets should be considered financial assets for public investment, the following should be considered:Change the treatment of gains and losses from cryptocurrency transactions to implement a "separate declaration taxation" system at a 20% tax rate.Allow losses from cryptocurrency income to be carried forward for deduction (to be used within the next 3 years).Apply the "separate declaration taxation" system to cryptocurrency derivatives trading as well.

ChainCatcher news, according to Bitcoin.com, Argentine President Javier Milei announced his government's plan for the second year in office. Milei discussed key issues, including tax cuts, which will reduce national tax revenue by 90%, easing the burden on Argentinians and allowing provinces to set their own taxes.In addition, Milei also announced a plan to implement free currency circulation in 2025, enabling Argentinians to conduct business in the currency of their choice, including Bitcoin.

ChainCatcher news, according to the Ukrainian Truth newspaper, cryptocurrency is expected to be legalized in Ukraine by the first quarter of 2025, but the possibility of tax exemption is slim.Danylo Hetmantsev, chairman of the Ukrainian Parliament's Committee on Finance, Taxation and Customs Policy, stated: "When it comes to cryptocurrency, the parliamentary working group is completing the first reading of a draft law. I believe that the text developed in cooperation with the National Bank and the International Monetary Fund (IMF) will be ready after the New Year. Our goal is to legalize cryptocurrency through this law and to do so by the first quarter of 2025."Hetmantsev expressed: "Cryptocurrency will not be tax-exempt; the form of taxation will mimic that of securities, taxing profits when assets are converted into currency. After consultations with European experts and the IMF, we have taken a very cautious approach to tax exemption for cryptocurrency, as it could exacerbate tax evasion in traditional markets."

ChainCatcher news, according to Bitcoin Archive, French Senator Sylvie Vermeillet has proposed to classify Bitcoin and other digital assets as non-productive property in the 2025 budget, similar to real estate and luxury assets, and to tax their unrealized capital gains.French Finance Minister Laurent Saint-Martin supports this initiative, believing that it is unfair to exempt Bitcoin from taxes while taxing physical economic assets.

ChainCatcher news, according to TASS, Russian President Vladimir Putin has signed a law regulating the taxation of digital currencies.According to the law, digital currencies are recognized as property. This also applies to currencies used for foreign trade payments within the framework of the "Experimental Legal Regime (EPR) in the field of digital innovation." The mining and sale of digital currencies are exempt from value-added tax. Operators of mining infrastructure must report to the tax authorities the issuance of cryptocurrencies using their services. Failure to timely transmit such information may result in a fine of 40,000 rubles.In terms of personal income tax, digital currencies obtained through mining will be classified as tangible income (a term typically used when payment is made using goods or services rather than currency). The value of the income will be determined based on market quotes. Such income will be taxed at the usual progressive tax rates, taking into account tax deductions for the amount of mining expenses.At the same time, income from the acquisition, sale, or other circulation of digital currencies will be taxed at a two-tier personal income tax rate (13% for income up to 2.4 million rubles, and 15% for income exceeding this amount). They will be included in the same tax base as income from transactions with securities, bank deposits, and other sources. Regarding corporate income tax, digital currency mining will be taxed at the standard rate (25% starting in 2025).

ChainCatcher news, according to Cointelegraph, the Japanese government has announced the advancement of a new economic stimulus plan, which is expected to be approved by the end of 2024. The plan includes changing the cryptocurrency tax rate from the current maximum of 55% under "miscellaneous taxes" to a unified tax rate of 20%.In addition, the reform proposal also involves raising the personal tax exemption limit to approximately $11,345, cutting fuel taxes and sales taxes to boost the economy and improve the job market. Japanese Prime Minister Shigeru Ishiba has pledged to work with various parties to promote this legislation.

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, in the U.S. presidential election, the Republican Party has taken control of the U.S. Senate.The Associated Press predicts that Republican control of the Senate may crush progressive hopes for a significant increase in the U.S. tax burden, taxing corporations and the wealthy, as the trillions of dollars in provisions from the 2017 tax law are set to expire at the end of next year.