Taxing the Metaverse?

The metaverse, a collective virtual space augmented by technologies like AR, VR, and NFTs, has been quickly adopted by global companies spanning various industries. From banking and entertainment to transportation, brands have announced the purchase of land plots within this digital realm. However, with the digital evolution comes a range of considerations for organizations, touching diverse domains such as risk management, legal compliance, finance, IT security, and marketing. Central to this is the acquisition and holding of digital assets like cryptocurrencies and NFTs, which introduces new taxation complexities.

Its Significance

The rapid emergence and adoption of the metaverse are reshaping business operations and investment strategies, prompting the need for updated taxation frameworks. Governments are already adapting existing tax structures to encompass digital activities, given that digital assets often sidestep traditional tax reporting mechanisms. This shift has far-reaching implications for companies, individuals, and governments. Addressing these tax challenges is crucial to ensure fair, effective, and sustainable fiscal policies in the digital age.

Expected Solutions

An in-depth exploration of current metaverse-related tax policies across key global regions, namely the US, UK, China, Japan, South Korea, Australia, and New Zealand, is sought. The research should spotlight the principal challenges these tax authorities face in developing and enforcing relevant tax policies. Furthermore, the study should shed light on how these challenges are being addressed and provide insights into the evolving landscape of taxation in the digital world.

Seeking Partnership with experts in

International taxation, forecasting, distrubuted ledget technologies and Undergraduate penultimate and final year students

Proposed Start Date

Term 1 2024