Russia approves bill on digital currency taxation

Russia’s Federation Council approved on Wednesday a government-backed bill regulating digital currency taxation during a plenary session. The law designates digital currency, including its use in foreign trade under experimental legal regimes, as property for tax purposes.

Key provisions exempt digital currency mining and sales transactions from value-added tax (VAT), as well as services facilitating such deals within experimental digital innovation frameworks. Mining operators must report user data to tax authorities.

Revenues from mining activities will form the personal income tax base, while corporate income tax will apply to digital currency mining profits at standard rates, according to the Finance Ministry.

Attribution: TASS

Subediting: Y.Yasser