Vermont Senator Proposes Digital Currency Tax Legislation

Earlier this week Senator Alison Clarkson (D) from Vermont has proposed legislation that outlines a use case for government-based cryptocurrency solutions for the green mountain state.

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Vermont Senator Proposes Digital Currency Tax Legislation
Vermont Senator Alison Clarkson.

The Windsor District Democrat, Alison Clarkson, recently introduced a bill that discusses various government statutes and the use of cryptocurrencies. The proposed legislation will be seen by the state’s Committee on Economic Development, Housing and General Affairs. The entire bill covers the use of digital assets tethered to blockchains and various digital currency solutions.

Subchapter twelve discusses digital currency limited liability companies which include physical presence, taxation, and exemptions for such entities. Within this section, the company must reside in the state of Vermont and can pay its taxes using a cryptocurrency transaction. The S.269 proposal explains:

A digital currency limited liability company shall remit to the State in the form of its digital currency a transaction tax equivalent to $0.01, at the then current exchange rate for the currency with the U.S. dollar, per transaction for: each unit of currency mined or otherwise created; and each sale or other transfer of one or more units of currency.

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Vermont Senator Proposes Digital Currency Tax Legislation Section thirteen of the bill asks for research and a report concerning the “opportunities and risks” of adopting blockchain Read More Here