New Zealand tax authority obliges crypto firms to report clients’ assets

New Zealand crypto-related companies will pass to the Inland Revenue Department (IRD) data about clients and their assets. This was reported by Radio New Zealand.

The IRD explained that information on the types of cryptocurrencies and transaction amounts is needed to better understand activity in the industry. On that basis, the agency wants to develop guidance on income tax payments.

Some companies voiced concerns about the IRD’s decision. Easy Crypto CEO Janine Grainger suggested that the agency is expanding the tax base amid rising cryptocurrency popularity in New Zealand.

“Many people think they have nothing to hide and needn’t worry. However, the purpose of privacy is not to aid those who want to hide something, but to foster a fair, open and free society,” said Grainger.

Back in 2017, New Zealand’s Financial Markets Authority equated cryptocurrency transactions with securities transactions.

Last year the IRD recognised income earned in cryptocurrencies by employees as lawful.

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