Biden pushes for a law to collect taxes with cryptocurrencies in the US

Biden pushes for a law to collect taxes with cryptocurrencies

In agreement with the Republicans, the United States government seeks to impose a series of regulations on the cryptocurrency market. The sector is waiting for the decision of the House of Representatives.

The Joe Biden government targeted crypto investorsThis week the new infrastructure plan was presented with the support of the Republican party that plans to collect 28 billion in taxes over the next decade, starting in 2023, on activities related to cryptocurrency transactions.

If approved, it will force cryptocurrency brokers to report information on transactions involving digital assets. The Joint Taxation Committee also wants people to report any gain or loss they may have from the transaction of this type of asset.

As reported by Breitbart News (BN), the regulations are intended to offset the $1.2 trillion expenditure required by the infrastructure plan that the Biden administration is carrying out. The president himself agreed with legislators from both parties on the treatment and approval of the law, BN sources say. For now, his vote remains in the Senate, and if it is approved, it will then go to the House of Representatives.

The law will require any broker to submit a tax form for each transaction with a digital currency. In the project, “digital currency” is any digital representation of value that is recorded in a cryptographically secured ledger or any similar technology, as specified by the United States Secretary of the Treasury. It also instructs to be informed of all operations that exceed USD 10,000.

The reactions were immediate. Kristin Smith, executive director of the Blockchain Association, said that this measure could push those who work in the field out of the country. For the moment, his vote remains in the Senate, and if it is approved, it will then go to the House of Representatives.