The Japanese government has finalized a cryptocurrency tax reform scheme for fiscal year 2024. The reform, approved at the last cabinet meeting on December 22, comes with an important amendment that will affect companies with crypto assets.

The amendment removes the market valuation tax for the end of the period previously applied to companies that own third-party crypto assets (virtual currencies).

As a result, companies will now only be taxed on profits generated from the sale of digital and cryptocurrencies, in line with the tax regime for individual investors. This amendment aims to ease the tax burden on companies involved in holding and operating crypto assets.