According to reports from local news, the Venezuelan government has approved a new tax bill that aims to collect up to 20% tax from cryptocurrency transactions.
Venezuela's National Assembly held a second discussion session last Thursday (03/02) for a new bill targeting a tax on "large financial transactions" in cryptocurrencies such as Bitcoin (BTC).
The Venezuelan government has reportedly approved a draft law requiring local companies and individuals to pay up to 20% for operations conducted in cryptocurrencies as well as foreign currencies such as the United States dollar.
Filed on January 20, the bill aims to collect 2%-20% of transactions in any currency other than those issued by the Bolivarian Republic of Venezuela, or Venezuelan bolivars and the state's oil-backed cryptocurrency El Petro.
According to Cointelegraph, the initiative aims to incentivize the use of the national currency, which reportedly lost more than 70% of its value last year and shed almost all of its value over the past decade.
"It is important to guarantee treatment at least equal to, or more favorable, for payments and transactions made in the national currency or in cryptocurrencies or crypto assets issued by the Bolivarian Republic of Venezuela versus payments made in foreign currencies," the bill reads.
As previously reported, Bitcoin adoption has skyrocketed in Venezuela in recent years, with thousands of local businesses starting to move to the cryptocurrency to survive hyperinflation. In October 2021, Venezuela's main international airport is preparing to start accepting cryptocurrencies such as BTC as payment for tickets and other services.