Argentina's Milei Scraps Proposed Bitcoin Tax Law Aimed at Incentivizing Citizens to Declare Their Holdings
Holding or paying with bitcoin won't be taxed for now but selling large amounts for profit will still incur an income tax.
- As reported, 'Ley Ómnibus' or the 'Law of Bases and Starting Points for the Freedom of Argentines' initially included provisions for an "asset regularization scheme" that would allow taxpayers to legalize bitcoin and other cryptocurrency holdings without having to provide additional documentation about where the assets came from.
- Part of the bill proposed a simple tax of 5% on assets declared prior to March 31, 2024, 10% from April until June 31, 2024 and 15% from July until September 31, 2024.
"Javier Milei has opted to remove proposed cryptocurrency taxes from a controversial omnibus reform package. It's a strategic move to expedite the approval of the sweeping set of reforms and avoid long debates on matters he deems less critical," reported Decrypt.
- "In the case of an individual, merely purchasing what the law refers to as 'digital currency' does not incur a tax. Income Tax applies to the profit made from the sale, and there's also a threshold below which no tax is due," explained accountant Marcos Zocaro for Argentinian news outlet iProUP.
