Thailand Clamping Down on Bitcoin Trading

May 15, 2018 Taxation in Thailand

cryptocurrency in ThailandBANGKOK – Thailand is toughening the rules about the use, exchange, or sale of cryptocurrency, and calling for heavy fines and jail time for unregistered exchange.

As of May 14th new regulations came into effect in Thailand regarding the trading of and profits from cryptocurrencies, such as Bitcoin, which will see higher levels of oversight and taxation.

Cryptocurrency transactions will soon bear the burden of a heavy taxation, with a 22 percent duty on profits to be enacted soon, on top of the already announced 15 percent tax on capital gains.

Along with the new taxes, the sellers of digital currencies have also been told that they will be required to register with the national Securities Exchange Commission (SEC) within the next 90 days.

Those who do not follow the requirement to register could face jail time of up to two years, but will also face fines of twice the amount of their transaction, up to a maximum of BHT 500 000.

The rules are expected to be expanded further to require all privately held exchanges, dealers, and brokers of cryptocurrency to be registered.

The new rules are expected to help the fight against tax evasion and money laundering.