Spanish Treasury has recently published a set of guidelines that are meant for reducing crypto tax evasion. Through this paper, it is revealed that the department is seeking to apply three different measures to tackle the tax risk. The agency is also looking to gather proper information against the tax-related crimes in the sector. In the first measure that the Spanish Treasury is looking forward to, it will seek information about the crypto holders from the local crypto exchanges.
Spanish Treasury Aiming to Incentivise Voluntary Tax Payments on Crypto
Spanish Treasury has mentioned that with these measures, they are trying to incentivize voluntary tax payments on crypto transactions. According to the document, the second measure has been described as:
“Systematization and analysis of the information obtained, in order to facilitate the actions to control the correct taxation of the operations carried out and the origin of the funds used in the acquisition of cryptocurrencies.”
Along with this, the agency has also mentioned that they are looking forward to strengthening international cooperation. This will be done by participating in the international forums along with the third measure. The ultimate aim of all these measures is to gather proper information about digital assets and more specifically, cryptocurrencies.
Technological Advances Plays Major Role in Financial Crimes
Spanish Treasury has mentioned that when it comes to financial crimes, it is technological advances that play a major role. These advances facilitate the criminal organization and in this way, they use cryptocurrency to conduct such financial crimes. The agency has mentioned how crypto adoption is growing rapidly in most parts of the world and to be particular in Europe. The major reason behind this increase in crypto adoption is because people are focusing on reducing the use of cash. Along with this, different central banks across the world are focusing on introducing their digital currencies.