Cryptocurrency traders in Thailand subject to 15% capital gains tax

Bitcoin, Litecoin, Ethereum and Ripple cryptocurrency coins

Bitcoin, Litecoin, Ethereum and Ripple cryptocurrency coins. Image: WorldSpectrum / Pixabay.

Thailand’s cryptocurrency traders will be subject to a 15% capital gains tax, according to the Bangkok Post.

Taxes on cryptocurrency gains are one of the fears of crypto investors. Now, a report from the Bangkok Post, itself cited by Coindesk, reports that in Thailand taxpayers will have to pay a 15% tax on their cryptoasset gains.

The report quotes a person from the Ministry of Finance who also said that cryptocurrency traders should prepare for increased scrutiny.

Taxpayers in Thailand who profit from cryptocurrencies will be subject to a 15% capital gains tax this year 2022, according to the Bangkok Post report.

Mind you, and although it may seem contradictory, according to the news the exchanges will be exempt, but not retail investors or mining operators, according to the newspaper, which quoted an unidentified person at the Revenue Ministry.

The Revenue Department plans to strengthen its oversight of cryptocurrency trading after it experienced significant growth in the market size and value of the digital asset market in 2021, according to the report.

According to Section 40 of the Royal Decree amending Revenue Code No 19, the department may consider profits from cryptocurrency trading as taxable income. The report included a recommendation from the ministry that investors should identify their cryptocurrency income when filing their taxes this year to avoid legal penalties.
A capital gains tax is a tax on gains made from the sale of an asset that is not inventory.

Akalarp Yimwilai, co-founder and CEO of Zipmex Thailand, told the Bangkok Post that many questions remain about how to calculate gains, including whether a gain from a price increase as the U.S. dollar strengthens is considered a gain, he said.

In September last year, Thailand reported its interest in promoting cryptocurrency and even having its own token. At the same time, some signs of regulations in the area peeked in 2021: In June, trading of NFT and meme tokens, such as Dogecoin, was banned. Also in June the Securities and Exchange Commission indicated that DeFi trading could start to be governed under regulation.

-Thailand News (TN)

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