The post Putin Passes New Tax Laws for Crypto Amid Bitcoin Surge Towards $100K appeared on BitcoinEthereumNews.com.

Russian President Vladimir Putin has signed a new law that regulates the taxation of digital currencies, marking a significant step towards streamlining Russia’s cryptocurrency landscape. This legislation recognizes digital currencies, such as Bitcoin, as property, allowing for clearer tax regulation and compliance within the rapidly growing crypto sector. According to the report, the key features of the law include: Classification of Digital currencies: Putin’s new law classifies digital currencies as property under Russia’s Tax Code. This classification is crucial as it aligns with global trends and provides a framework for crypto transactions. These transactions also include transactions that are used for foreign trade payments. Exemption from Value-Added Tax (VAT): Putin’s new law also exempts mining and selling of cryptocurrency from VAT. This move will encourage more innovation within the industry and will also attract businesses without the additional taxes. Tax Reporting Requirements: Mining facility operators must report to tax authorities when their services are used for issuing cryptocurrencies. If one fails to do so, fine of up to 40,000 rubles will be charged. Personal Income Tax Rates: According to Putin’s new taxation law, a two-tier personal income tax system is established. Within this system, earnings up to 2.4 million rubles taxed at 13% and income above this amount will be taxed at 15%. Corporate tax: Corporate entities involved in cryptocurrency mining will be a subject to standard corporate tax rate of 25% starting in 2025. Impact of the Putin’s New Taxation Law on Crypto Industry The new Russian law on digital currency taxation is expected to have a positive impact on the crypto sector. The law will actually provide regulatory clarity and encourage crypto adoption all over the globe. Law Passed Amid Bitcoin’s Surge towards $100,000 mark The new cryptocurrency taxation law has been passed at a pivotal moment. Bitcoin…

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Filed under: News - @ November 29, 2024 5:25 pm