by According to the statements of an executive working for a cryptocurrency exchange, Pakistan may be able to increase its annual tax revenues by about $90 million if they tax crypto transactions at a rate of 15%.
Pakistan Advised To Impose 15% Tax On Cryptocurrency
An executive working for a crypto exchange in Pakistan has stated that Islamabad has the potential to collect tax revenues amounting to at least $90 million if the government decides to impose a tax of 15% on all cryptocurrency transactions.
According to the executive and manager of Rain Financial Inc., Zeeshan Ahmed, this may become a reality if Pakistan were to implement what one news piece refers to as “hard and fast laws.”
In remarks that The International News reported, Ahmed asserted that Pakistan’s neighbors, the United States and India, are already receiving billions of dollars in tax income. He said:
“The United States and India have imposed a tax of 30% on the profit made from trading cryptocurrencies, which has resulted in the collection of billions of dollars. We may begin with a tax rate of 15%.
The Part That Cryptocurrency Plays In Pakistan’s Economy
Aatiqa Lateef, another official at the cryptocurrency exchange and the head of public policy, concurred with Ahmed’s situation assessment. Lateef, while presenting at the event where participants debated the function of cryptos in an economy, said that his business is doing its lot to alter the way regulators see cryptocurrency.
According to Lateef, “We are in regular communication with all regulatory agencies including PTA, SBP, FBR, and many others, and will help them keep the crypto space safe.”
The director continued by saying that after the incident, the government of Pakistan has established committees to consider various regulatory situations. It is also anticipated that the committees would provide recommendations about the different policy choices.
In the interim, Lateef acknowledges that it may take the government of Pakistan anything from 12 to 18 months to reach a judgment. This may be partly due to the incapacity or lack of capability on the part of authorities to regulate the cryptocurrency business.
According to Lateef, despite these problems, Pakistan may be able to overcome them with the support of cryptocurrency companies such as Rain Inc that will ensure crypto users do not evade taxes.
