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Japan's Liberal Democratic Party approved a proposal that exempts cryptocurrency employees from tax on unrealized capital gains.
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The tax committee of the ruling party reviewed the proposal and recommended improvements in business conditions for cryptocurrency employees.
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Japan currently imposes a 30% levy on companies that have not realized gains from their cryptocurrency holdings.
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Fumio Kishida, Prime Minister, is expected to finish its annual tax policy guidelines by the end of the year. Tax code amendments are typically submitted to parliament in January.
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Tax legislation shows that the authorities continue pursuing previously announced plans to reduce some of the bureaucracy surrounding the crypto industry to encourage innovation.
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Japan's Virtual and Crypto assets Exchange Association announced in October that it would ease its screening process for listing crypto tokens.
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PM Kishida has long supported digital finance adoption and has announced additional investments in the NFT, metaverse and other industries.
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Under his "new capitalism" mandate, he included crypto in his plans to revitalize the economy.
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