The government of Thailand is readily regulating the taxes levied on the local cryptocurrency ecosystem by enacting new tax rules for the investors. According to the report by the Bangkok Post news agency on Thursday, the profit gained from crypto trading is now subject to a 15% capital gains tax for the investors.
The Thailand Revenue Department is also working on monitoring the revenues of this digital asset market within its citizens. It has the authority to collect such taxes from the citizens as such income is considered as accessible income under Section 40 of the Royal Decree amending Revenue Code 19.
The finance ministry has also declared that investors should calculate and report their income from the cryptocurrencies in their tax declarations starting 2022 to avoid any legal penalties. This tax is inclusive of every profit gained, including trading and mining operations.
On the other hand, cryptocurrency exchanges are exempted from these new tax regulations. According to Akalarp Yimwilai, co-founder and CEO of Zipmex Thailand, there is a floating confusion and concern about calculating the crypto profits and the crypto tax reporting process in Thailand after these new regulations. The tax methods and the calculations hold to be more concise, clear and simplified for the individuals. As per him, many people want to pay taxes but aren’t able to configure out the process and the calculations involved.
New reports will be launched to define the “red lines” with the crypto in 2022. As per the Bank of Thailand governor Sethaput Suthiwartnarueput’s announcement in mid-December, the central bank was already planning to release a new guide for the crypto investors early this year. According to the latest updates, the financial authorities of Thailand were already considering collecting a 15% tax from crypto investors since March 2018.