Japanese authorities arenâ€™t hesitating in hunting down anyone considered a crypto tax evader. A court in Ishikawa has sentenced one of them, a 56-year-old man that will spend one year in prison, plus pay a $200,000 fine.
Sentenced Man Didnâ€™t Disclose His BTC Trading Activity of the Period 2017-2018
According to Chunichi, a judge at the Kanazawa District Court imposed a fine of over 22 million yen ($200,000) and gave a one-year-long sentence to Hideji Matsuda, an office worker in Ishikawa, for violating the Income Tax Law.
The judge concluded that the man didnâ€™t file accurate tax declarations knowingly on his bitcoin (BTC) trading activity. Per court documents, Matsuda didnâ€™t declare the period 2017-2018.
Moreover, the court stated that the office worker falsified data on his tax submissions because he claimed to had just earned 1.2 million yen ($11,000) in profits. In reality, he received a total income of 74 million yen ($678,000) and he didnâ€™t pay any tax whatsoever.
When his lawyers on the hearings interviewed Matsuda, he claimed that he didnâ€™t have clarity on calculating the profits of incomes earned from cryptos. However, prosecutors stated otherwise. In fact, they believe the 56-years-old man was â€œselfish and self-centered.â€
Matsudaâ€™s lawyers already pledged for pardon, as they stated the man submitted petitions to amend the issue and file the tax documents properly.
However, the judge rejected such a proposal and proceeded with the sentence. At the end of the trial, Matsuda just commented on the sentence: â€œthere is no doubt.â€
An Unprecedented Case in Japan
This legal case is the first-of-its-kind in Japan, making Matsuda the first person in the land of the rising sun to be sentenced for being a bitcoin tax evader. The legal proceedings started in 2020.
In the Asian country, crypto-related activities such as mining, trading, and lending profits are subject to taxes as high as 55%.
What do you think about the sentence given to the Japanese crypto tax evader? Let us know in the comments section below.
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