New Hampshire Bill to Legalise Cryptocurrency Payments for Tax Passes Sub-Committee
New Hampshire is a step closer to begin accepting cryptocurrency as a form of tax payment. As of February 2, 2019, the house sub-committee voted unanimously on a bill that would allow such payments.
Following in their Footsteps
In late 2018, Ohio made history as the first U.S state to accept cryptocurrency as a form of tax payment; additionally, the state of Wyoming had also previously passed two bills favoring the adoption of cryptocurrency and blockchain. When the news first broke, many believed that other states would soon follow suit and it seems as though New Hampshire might be the next in line.
On February 2, 2019, the New Hampshire House sub-committee approved a bill that would allow the state to accept bitcoin and other cryptocurrencies for tax payments. First introduced in January by U.S Representatives Dennis Acton and Michael Yakubovich, the bill is one of many in recent times that pushes crypto adoption to the forefront of government.
Bill HB470 certainly saw favor in the sub-committee as it was passed unanimously and it will now be considered by the State’s Administration Committee. If the Committee gives their approval, a comprehensive plan for the implantation of tax collection by means of cryptocurrency will have to be provided by the State Treasurer to the State’s governor and the Speaker of the House. After this is, New Hampshire would become the second state in the US to accept cryptocurrency as a form of tax.
One interesting detail in the bill is that it was recommended that any cryptocurrency that is paid as tax be converted to fiat currency to prevent them from losing their value due to the market volatility. When discussions took place regarding cryptocurrency being paid to the government, the issue was often brought up and some even felt that the market volatility would discourage its adoption. Fortunately, New Hampshire lawmakers seem to have found a way around that problem.
The law has first been proposed in 2016 but was voted down. It seems that since then, enough education and acceptance of blockchain and cryptocurrency has taken place that lawmakers felt confident enough to unanimously vote yes.
Hopefully, the bill will receive a similarly warm reception State’s Administration Committee and soon, more states could begin accepting cryptocurrency as a form of tax payment as they do with fiat currency.