Russia Will Tax Cryptocurrencies

May 31, 2017 Taxation in Russia

Cryptocurrency taxMOSCOW – Russia hopes to get a tighter hold of cryptocurrencies by treating them as regulated digital goods.

In a statement made by the deputy chairwoman of the Central Bank of Russia, Olga Skorobogatova, it was revealed that the national government is looking at legislation to formalize the treatment and taxation of cryptocurrencies like Bitcoin.

The new rules would see all cryptocurrencies classified as digital goods, and taxed as such.

Along with taxing the currencies, the new legislation will allow the government to monitor and, to a certain extent, control the creation and distribution of cryptocurrencies.

The chairwoman explained that the need for the new taxation and regulation of cryptocurrencies is due to the fact that the currency is not backed by any reserves, a situation which could theoretically lead to some unforeseen economic and financial instability.

She also revealed that there are currently some plans to tax digital cryptocurrency transactions, and the plan was supported by the Ministry of Finance, Ministry f Economic Development, and law enforcement agencies.