With blockchain technology and digital currencies finally starting to infiltrate the mainstream, there has been a lot of pressure placed on lawmakers to introduce bills surrounding these burgeoning sectors.
What Does the Wyoming Bill Cover?
Just like any industry, it is critical that the communities involved are both adequately protected as well and monitored via legal oversight and taxation. As Popularity regarding bitcoin’s wave of innovation grows, some states in the US have already begun introducing bills related to both blockchain technology and digital currencies.
Wyoming officials proposed a new tax bill to the state senate on February 10, 2018, which proposed the introduction of an exemption on state property taxes for digital currencies. Alongside this proposition was a suggested date for when the tax benefit may be implemented.
The bill in question was numbered 111, and a group of senators introduced it. They were Chris Rothfuss, Tara Nethercott, and Ogden Driskill, as well as receiving support from three representatives – Jared Olsen, David Miller, and Tyler Lindholm. Apart from Senator Rothfuss, all of these people are Republicans.
If you're interested in the BlockChain or cryptocurrency and how it can help diversify our economy in Wyoming,… https://t.co/ixGNPJyxn6
— Tyler Lindholm (@Tyler_Lindholm) February 1, 2018
There was a good response for the bill, as it received 26 votes of support from a combination of Democrats and Republicans, three votes against the law (all by Republicans), and one single excused vote.
This political response showcases a bipartisan theme for cryptocurrencies also represented across state lines and in other legislative proposals.
Bill Specifics and the Nationwide Crypto Bandwagon
It is a short and concise bill which proposes a number of “intangible items” that should be qualified for property tax exemptions. These include items such as digital currencies, cashier’s checks, gold and fiat currency.
Taxation for cryptocurrencies is still somewhat of a grey area across the country, however, with the requirement being that all crypto assets are subjected to both payroll and federal property taxes.
According to a report by Credit Karma, a personal finance service, only 0.04 percent of customers have reported their digital currency assets to the United States Internal Revenue Service as of February 13, 2018.
Further, there have been a number of crypto-related bills introduced in Arizona, with the aim of adding regulation for making tax payments using digital currency.
The Senate endorsed this bill after winning the votes 16 to 13 after it had already passed through the Finance Committee. If the house adopts this bill, Arizona will be the very first state in the country that will accept tax payments in digital currency.
There has been a similar bill introduced in Tennessee, as well as another piece of legislation aimed at protecting the ownership rights of information that have been secured within blockchain networks.
New Hampshire and Kansas have already passed legislation regarding crypto exemptions. Similarly, the Nevada authorities have pledged to create optimal conditions for blockchain-related startups to attract these companies to the state.
Finally, there have been three blockchain-related bills introduced in Nebraska as they aim to become one of the leaders in the country for encouraging the development of blockchain technology and the adoption of digital currencies in everyday life.