Argentina’s Buenos Aires province will start taxing cryptocurrency mining and possibly staking in 2023.
Buenos Aires announced in April that it will allow users to pay taxes with crypto next year. The city also has a project to use a blockchain identity system and will host Ethereum nodes as part of its digitization and modernization push in 2023. The state, which develops blockchain-based projects for the future, continues its regulations.
Buenos Aires Regulates Crypto Mining
The province of Buenos Aires has approved a project to add cryptocurrency mining as a taxable activity for next year.
state governor Alex KicillofA document submitted by the Company states that the activity officially defined as “Processing and verification services for crypto assets and/or cryptocurrency transactions (crypto asset and/or cryptocurrency mining)” imposes an additional 4 percent tax on the income generated from these transactions. demonstrates that it will require
The taxes will be paid to the provincial government and will not be related to other taxes set by the Argentine national government. The document also states that this tax will only apply if the equipment used to perform this activity is located in the state’s jurisdiction.
This tax regulation will begin to be implemented in January, but there are still some unidentified elements related to the implementation of this new tax.