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Russia approves cryptocurrency tax framework, miners implement two-stage taxation system

Russia approves cryptocurrency tax framework, miners implement two-stage taxation system

Bitget2024/11/13 12:28

On November 13, the Russian Government Legislative Activities Committee advanced a cryptocurrency tax bill on November 11, 2024. The bill defines cryptocurrencies as property and sets different tax requirements for individual and corporate miners. According to the new regulations, companies need to register with the Federal Tax Service to legally carry out mining operations, while individuals with monthly electricity consumption below 6000 kilowatt-hours do not need to register. The new framework adopts a two-stage taxation model: the first stage is taxed when the cryptocurrency arrives, and the tax base is calculated based on the closing price of major exchanges; The second stage is taxed at sale time if selling price exceeds initial taxable value additional taxes will be levied. From 2024 onwards, individual traders and miners with annual income exceeding RUB 2.4 million will be taxed at progressive rates from 13% to 22%, while corporate tax rates will increase to 25% in 2025. According to estimates by Industrial Mining Association these tax measures can bring an annual revenue of RUB50 billion (approximately USD521 million) for budget.

Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
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