BlocksInform
American legislators are now taking steps that will benefit the cryptography industry to a certain extent. The new legislation aims to reduce the tax burden on small crypto transactions.
The bill is entitled "Virtual Currency Tax Fairness Act, 2020" and would assist all crypto transactions that may be defined as small transactions or personal transactions. If the bill is passed, it will not be necessary to register personal expenditures in cryptography to ensure that they are not taxed.
This legislation was introduced yesterday by four legislators. Suzan Delbene (D-Wash.), David Schweikert (R-Ariz.), Tom Emmer (R-Minn) & Darren Soto (D-Fla.) the bill will provide significant clarity in the crypto industry, as far as general regulations are concerned. Furthermore, this would remove a great deal of pressure on individual crypto promoters who are currently obliged to be responsible for even the smallest crypto gains or transactions.
Currency communications director neeraj agrawal says this best. He said:
“Extending this sensible exemption to cryptocurrency would allow users to do simple things like send small transactions to each other or fractions of pennies to DApps without having to deal with a fairly complicated capital gains calculation every time.”
The taxation of cryptography generally remains a sensitive issue. Just last month, the National Tax Service of South Korea (NTS) announced a $70 million withholding tax on Bithumb.
