About 67 Percent of Users Support Digital Assets Taxation

News / 01.05.2020

Recently, South Korean wallet provider known as Childly carried out a survey. Over 5,750 cryptocurrency users across the world were involved in the poll.

The results revealed that 66 percent of respondents support cryptocurrency asset taxation. Likewise, it showed that one out of five cryptocurrency users do not support digital asset taxation.

Generally, the survey showed that the cryptocurrency community is warm towards taxation. Forty-eight (48) percent of the respondents said it is mandatory to tax cryptocurrency assets; hence, they strongly agreed that cryptocurrencies should be taxed. 18 percent agreed to the taxation but noted that there should be an established acceptable level.

According to 20 percent of the respondents, it is not yet time to tax cryptocurrency assets, and 9 percent of them said it is “too early” and more time is required to come up with necessary obligations for the cryptocurrency space.

Eleven (11) percent of the respondents strongly disagreed with taxation, stating the necessity of another approach regarding digital assets. Fourteen (14) percent noted that they do not hold any notion about digital asset taxation.

According to Childly’s chief executive Eunti Kim, despite that several nations have started taxing cryptocurrency assets, there is need to hear the people calling for further prudent approach to the application of tax rules.

In spite of many cryptocurrency users’ acceptance of taxation, they still owe taxes. The findings of cryptocurrency accounting platform Blox and tax software provider Sovos was published late March. They carried out a survey that involved a third of known, U.S.-based Certified Public Accountants (CPA) operating in various capacities with digital asset.

The report mentioned notable challenges regarding cryptocurrency taxation from the tax professionals’ viewpoint. Ninety (90) percent of the professionals identified missing data from clients as one of their biggest challenges while fifty (50) percent mentioned government regulation as the leading challenge.

More than fifty (50) percent of the professionals think that their cryptocurrency clients owe back taxes.

Source: Cryptopress.

Sudarshan M is a long time crypto-enthusiast. Pulled in by bitcoin early on, it did not take long for Sudarshan to divert all of his academic attention from business studies to blockchain by doing his Masters and eventually pursuing his PhD in the subject.