Vermont to collect taxes in crypto?

On 3 Jan, Sen. Alison Clarkson, a state legislator in Vermont, introduced a bill, as per public records.

The bill was proposed with the aim to generate a regulatory framework for the exercise of Blockchain Technology.

As per the records, the bill has been forwarded to the Committee on Economic Development, Housing, and General Affairs.

“This bill proposes to implement strategies relating to the blockchain, cryptocurrency, and financial technology in order to: promote regulatory efficiency; enable business organizational and governance structures that may expand opportunities in financial technology, and promote education and adoption of financial technology in the public and private sectors, “stated in the Draft Bill.

In addition to looking after the risks and opportunities raised by evolving such technology, the state will also clarify certain companies as “digital currency limited liability companies”.

If the bill gets approved, there are certain rules to be followed by such companies.

  • Companies will have to pay in the form of its digital currency a transaction tax equivalent to $0.01, whenever a new unit of cryptocurrency is generated or transferred.
  • adopt protocols to respond to system security breaches or other unauthorized actions that affect the system;
  • adopt rules governing the responsible use of computing power by mining pool operators.
  • A digital currency limited liability company is exempt from taxes otherwise applicable under Title 32 of the Vermont Statutes Annotated.

And much more…

VERMONT DRAFT BILL – S-0269 As Introduced

The submission is unsurprising as earlier also Vermont took interest in the technology

In June, the governor of Vermont signed a bill that mandates how the States job market will be affected by the exercise of blockchain technology.

In addition to the new bill, Clarkson calls for a “FINTECH SUMMIT”. The idea behind this event is to bring people closer and get to know what people think over and discuss on its wider use. The state would devote $25,000 to help fund the event, under the auspices of the Agency of Commerce and Community Development.

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