The Ministry of Finance issued an interpretive ruling on 3 September 2026 stating that the sale of virtual assets and stablecoins as defined by the Virtual Asset Service Management Act is not subject to business tax (VAT). This clarification provides certainty for operators of virtual asset trading platforms and related service providers. The ruling distinguishes between taxable financial services and the specific activity of transferring virtual assets, which are treated as intangible property transfers outside the scope of business tax. However, service fees charged by platforms for facilitation, custody, or exchange services remain taxable as business tax.
Key Takeaways
- Scope of Exemption: The exemption applies strictly to the transfer of ownership of virtual assets and stablecoins; ancillary services are still taxable.
- Regulatory Alignment: The ruling aligns tax treatment with the Virtual Asset Service Management Act, which defines virtual assets and imposes AML/CFT obligations on service providers.
- Compliance Obligations: Platforms must still register as VAT payers if they provide taxable services, maintain proper books, and issue uniform invoices for taxable fees.
Disclaimer: This article is compiled and summarized by the AI based on publicly available information and is for general information purposes only. It does not constitute any form of formal tax advice, legal opinion, or basis for performance. Please consult a qualified professional tax advisor or legal counsel for tax advice.
Source: Read Official Announcement