G20 Leaders Move For International Tax On Cryptocurrency

If there’s any Global conference you should look out for, it should be the G20 conference. Well, if you haven’t heard of it, the G20 conference is happening presently in Buenos Aires, and one of the things that have popped out of the conference is a decision that concerns the world of cryptocurrency.

The politicians present at the conference have signed a document indicating their plan to start working towards a solution to the challenge of cryptocurrency tax, and how they are going to collaborate fully to this end.

Before we dive into the international cryptocurrency tax, let’s look at what the G20 club is exactly.

About The G20 Conference

The G20 conference is simply a gathering of the leaders of the 20 most authoritative nations in the world. In this conference, these leaders meet to talk about vital issues and also have pictures of themselves taken.

The current president of the club is the President of Argentina, Mauricio Macri, who will hand over the seat next year by Japan’s Shinzō Abe.

Conferences like the G20 are met with protests with people venting their frustration and anger at the figureheads of their different countries.

A protest happened last year in Hamburg with protesters setting cars alight and blocking the roads. However, Argentina prepared for this by assigning 700 security personnel and 22,000 police officers to guard the conference. Plus, they also set up a 12-kilometer parameter around the place where the conference is held.

At the 2018 edition of the conference, the main topics discussed by the leaders is the regulation of cryptocurrency along with the developing trade war between the US and China, as well as sustainable food.

The G20 leaders only seek to develop a taxation system that would work for cross-border electronic services.

The Call For International Cryptocurrency Tax

According to reports by Jiji.com, a Japanese news outlet, the member-countries of the G20 have discussed the need to tax cryptocurrency and also regulate it as a way to solve money laundering.

Jiji.com also noted that the G20 leaders called for a taxation system built for cross-border electronic payment methods in the final text a document delivered at the conference.

Additionally, the article also specified that with the current laws, the local government could not tax foreign companies if they don’t have a base or factory in Japan. Also, the publication went on to cite that the G20 leaders only seek to develop a taxation system that would work for cross-border electronic services.

Gathering this weekend in Buenos Aires, the G20 member states are said to have started working on the system and will bring it up for discussion in 2019 when a new President is selected for the summit. Also, each member state will submit their proposals before a final draft of the regulations is put in place in 2020.

Looking back at a report in October from Cointelegraph, the CEO of the cryptocurrency investment app, Circle discussed the normalization of the cryptocurrency industry at the G20 level, and that’s what seems to be happening.

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