Metaverse Could be a Getaway Car for Tax Evasion

Christine Kim, a Harvard law professor and Metaverse scholar, has highlighted the potential for tax evasion within the digital space. Kim’s research suggests that the Metaverse could become a tax haven if left unchecked, as it can track every digital interaction and individual fortunes. This could enable governments to levy taxes when users secure income. Kim is pushing to disrupt the current US tax convention, challenging the norm of taxing Metaverse users only when they have initiated taxable actions, such as cashing out their digital assets. The Metaverse’s potential to create a tax haven is a significant concern.