Argentine province of Tucuman introduced taxation of cryptocurrencies

Following the province of Cordoba, Tucuman introduced taxation of income from cryptocurrencies. Now in two Argentine provinces, citizens are required to report assets and pay tax on income from cryptocurrency transactions.

Province of Argentina Tucuman according to Law 9 421
changed its Tax Code, and taxed the purchase and sale of cryptocurrencies. Earlier this year, taxation of cryptocurrency transactions was introduced in the province of Cordoba. Local authorities decided that cryptocurrency transactions would bring additional income to the budget. The tax regulation also applies to citizens and companies receiving payments in cryptocurrencies for their products and services.

So far, only two Argentine provinces have approved cryptocurrency tax laws. In these two provinces, cryptocurrencies are treated as foreign currencies, so trading in them is taxed. Now, under the new legislation, provincial residents will have to report their cryptoassets on tax returns and pay taxes on cryptocurrency trading, just like when trading fiat currencies.

Against the background of the growing cryptocurrency market, the governments of many countries are beginning to understand that, without taxing the cryptocurrency market, they are missing out on the opportunity to replenish the country’s budget. For example, the Austrian Ministry of Finance has equated cryptocurrencies in terms of taxation with stocks and investments. Now Austrians will pay 27.5% of the proceeds from cryptocurrency trading to the budget. Even China, which has imposed a business ban on cryptocurrencies, can impose a tax on cryptocurrencies held by citizens or used outside the country. The Tax Bureau of Loudi County, Hunan Province State Tax Administration insists on this.