Amid the ongoing digital asset embrace that the BRICS alliance has undergone over the last year, Russia has officially approved a new 15% crypto tax bill. Indeed, the legislation will implement a tax on both cryptocurrency mining and transactions while perceiving the asset as property.
The move comes as another key step in Moscow’s ongoing reveal regarding the asset class. Earlier this year, the country opted to undo its ban on cryptocurrencies in international settlements. Now, it has taken steps to introduce financial obligations on traders and miners. As BRICS continues to de-dollarize, crypto is expected to play an increasing role in its economic activity.
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Russia Approves Crypto Tax Bill as BRICS Could Expand Integration
For the last two years, the BRICS alliance has been a focus of geopolitics. The blco has emerged as a key challenger to the global status quo and Western hegemony. As it looks to lessen international reliance on the US dollar, alternative payment methods have reached the forefront of its policies.
That has continued for BRCIS and Russia, as the latter has officially approved a 15% crypto tax bill. Indeed, a report from Interfax confirms that the country has approved a drafted amendment that would tax cryptocurrency transactions and mining. Both of which could factor into the economic alliance directly.
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Additionally, the legislation will officially categorize digital assets as property for taxation purposes. This will allow the country to impose financial obligations on miner and trader income. Conversley, the report noted that crypto trades would be exempt from value-added taxes, which wouldn’t exceed a 15% mark.
The Russian Ministry of Finance stated that the taxation plan will ensure fair representation for the cryptocurrency participants. Moreover, it notes the need to balance state and business interests.
The move continues to see Russia embrace cryptocurrencies in its policies and infrastructure. That should only continue in the coming year. The BRICS bloc is poised to introduce a blockchain-based payment platform that is currently in development. It could see allies of the group conduct international trade settlements with cryptocurrencies.