Less Than 1% Of Crypto Investors Pay Taxes, Study Reveals
- A study by Divly found that less than 1% of crypto investors paid taxes on their digital assets in 2022.
- Global cryptocurrency tax compliance is a mere 0.53%, with North America displaying the highest compliance rate at 1.62%.
- The United States was found to have the most cryptocurrency taxpayers among the countries surveyed.
Less than 1% of crypto investors paid taxes on their crypto assets in 2022, according to a study by Divly. Global crypto tax compliance is just 0.53%.
The study by Swedish tech company Divly revealed that less than 1% of crypto investors paid taxes on their crypto in 2022. Specifically, the study found that only 0.53% of crypto investors declared their digital assets to respective tax authorities.
The Global Cryptocurrency Taxation Report of 2022 measured the taxation trends for the digital asset industry in various countries. It showcased the minimal percentage of cryptocurrency investors that reported their assets to tax authorities last year.
The study also revealed that global cryptocurrency tax compliance is a mere 0.53%. However, there was a variance in that number between continents. North America had a 1.62% tax compliance rate, while Asia only had a 0.20% compliance rate. According to the study, the number of cryptocurrency taxpayers varies between countries, which can affect the low average tax compliance rate, and the United States had the highest number of cryptocurrency taxpayers compared to other countries.
The current regulatory issues surrounding the digital asset industry have been a topic of discussion this year. In 2022, the FTX collapse made headlines as a disastrous event, and it prompted regulatory agencies to take action against the crypto industry’s place in the modern financial sector. Despite this crackdown, the study has brought attention to another issue that exists between crypto investors and their taxes.
This study emphasizes the need for cryptocurrency investors to understand and comply with their tax obligations to avoid potential legal consequences. It is crucial to stay up to date with your country’s latest tax laws and regulations to avoid any issues.
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