Russian Government – Russia’s Federation Council Approves Crypto Tax Bill with Mining Exemptions
Russian government is moving quickly to implement new cryptocurrency taxes as Bitcoin hits all-time highs against the Russian ruble. On November 27, Russia’s Federation Council approved a federal bill that introduces taxes on cryptocurrency transactions, recognizing digital currencies as property. The legislation imposes a 13% to 15% personal income tax on cryptocurrency sales and also exempts Russian crypto miners from value-added tax (VAT) on mined coins.
The bill, which passed all readings in the State Duma and received approval from the Federation Council, now awaits President Vladimir Putin’s signature to become law. Upon signing, the law will take effect immediately. As part of the new tax controls, Russian crypto miners must report mining activities to local authorities, and failure to comply could result in fines of 40,000 rubles (about $360).
Bitcoin Reaches Record High Against Ruble
The approval of these new crypto taxes comes as Bitcoin reaches a record high of approximately 11 million rubles per coin on November 27, according to data from Coinbase. This surge is partly driven by the global rise in Bitcoin’s price, approaching $100,000, and the depreciation of the ruble. On the same day, the exchange rate for the US dollar hit a multiyear high of 113 rubles per dollar, up from 111 rubles, marking a 25% increase over the past year. This has led many Russians to turn to Bitcoin and other digital currencies as a hedge against inflation and currency devaluation.
With this new legislation, Russia seeks to regulate and tax its growing cryptocurrency market, which has been expanding rapidly amid the economic instability tied to the ruble’s decline.
Disclaimer: This website’s content is for informational purposes only and does not constitute financial advice, with all cryptocurrency purchases carrying inherent risks.
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