The new amendments introduced by the Russian government will classify income from crypto as assets, with a maximum tax rate of 15%.
The Russian government has approved a draft amendment to a bill on taxing income and expenses from cryptocurrency transactions and mining, according to Interfax news agency, citing the Russian Ministry of Finance.
Under this bill, cryptocurrencies will be classified as assets for tax purposes. This means that income from mining activities will be taxed based on the market value at the time of receipt. However, Miners will be able to deduct expenses related to mining activities from their taxable income.
Additionally, cryptocurrency transactions will be exempt from value-added tax (VAT), while income from transactions will be taxed at the same rate as securities transactions, with a maximum individual income tax rate of 15%.
The amendments also require Miners to report information about individuals using their infrastructure to ensure compliance. The Russian Ministry of Finance stated that the decision to tax financial income from mining aims to balance the interests of businesses and the government.
Russia introduced the original bill on cryptocurrency taxation in December 2020 and passed the first reading in 2021. Last month, the Russian Federal Tax Service proposed to tax unrealized gains of Miners. Along with Russia's new tax regulations, it can be seen that leading countries are showing increasing interest in the blockchain market.
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The article Russia proposes a 15% tax on income from cryptocurrency transactions and mining first appeared on CoinMoi.
