In the Philippines, Income From Online Games Like Axie Infinity Is Taxed

Philippine Finance Undersecretary Antonette C. Tiono said income from games based on crypto and non-fungible tokens such as Axie Infinity should be subject to income tax. She also noted that Sky Mavis, the creator of Axie Infinity, is not registered with the Internal Revenue Service (BIR).

The Finance Undersecretary said it was not yet clear if the Axies, the so-called in-game pets, were securities. She also noted that other forms of income will be taxed. So far, the Philippines has taken only limited steps to regulate the market.

To counter such concerns, governments are banning certain assets, such as the NFT. The Thai SEC, for example, has banned NFTs and meme tokens. The Thai government is also targeting another profitable sector – DeFi.

Image: CryptoGamingPool