The Brazil government has published a resolution that cancels tax exemption for investors whose monthly income from cryptocurrencies does not exceed 35,000 reactions (about $ 6300). Starting from June 12, all operations with digital assets, including trading and staying, are taxed in a single tax of 17.5%, regardless of the amount of profit.
The Executive Director of the Brazilian Association of Cryptocurrencies and Blockchain (ABCB) Rafael Santi said that the increase in the tax burden potentially threatens local cryptocurrency sites and may slow down the development of the domestic digital asset market. The fall in income of the bulk of small and medium crypto -investors can lead to their departure to foreign platforms that are not controlled by the Brazil authorities, the director of the ABSV is sure.
“For all Brazilian crypto -investors, the innovation means the need to revise the strategy. Those who are engaged in the active trade in bitcoin or other cryptocurrencies will have to take into account the tax in their calculations, which can reduce the profitability of operations, ”said Rafael Santi.
At the same time, the head of ABCB believes, a single tax rate simplifies the calculations and increases the transparency of digital assets for tax authorities, which can contribute to the legalization of crypto operations of large companies, for which the simplification of the tax system and predictability are more important than low rates.
Earlier, the College of the Supreme Court of Brazil unanimously approved the decision on the right of courts of general jurisdiction to confiscate the digital assets of cryptocrats to repay the debt of these people to creditors.
Source: Bits
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