Residents in Arizona may be allowed to pay taxes in cryptocurrency, under a new bill the State’s Senate passed by a 16-13 margin last week, Daily Express reports.
Arizona State Republican Jeff Weninger said it was a signal to everyone in the US and throughout the world, that Arizona was going to be the place to be for blockchain and digital currency technology in the future.
Arizona State Senator Steve Farley said, however, the bill puts the “volatility burden” of Bitcoin’s price on taxpayers who make payments in US dollar.
He said: “It would mean that the money goes to the state and then the state has to take responsibility of how to exchange it.”
According to the text of the bill, it may not just be Bitcoin (EXANTE: Bitcoin) that will be accepted. The bill suggests that other cryptocurrencies could also be accepted:
“A payment gateway, such as Bitcoin or other cryptocurrency, using electronic peer-to-peer systems. The department shall convert cryptocurrency payments to United States dollars at the prevailing rate within twenty-four hours after receipt and shall credit the taxpayer’s account with the converted dollar amount.”
The Arizona State Senate passed the bill on February 8. The bill now needs to be passed in the House of Representatives. If the bill is signed into law, residents of Arizona will be able to pay taxes in cryptocurrency starting in 2020.
Last monthe the Arizona State University and Dash cryptocurrency announced a partnership designed to accelerate research, development and education in ways that advance blockchain transaction speed, efficiency and security and expand its uses