Reuters reports that Russian legislators have approved tax deductions for crypto producers
On Tuesday, the Russian parliament adopted a bill that would exclude crypto and digital asset issuers from value-added tax (VAT).
According to a report by Reuters, the proposal would not only free issuers from paying VAT, but would also create a new tax rate of 13% for Russian corporations and 15% for international companies on taxable profits from digital assets. Members of the State Duma accepted it in both the second and third readings today.
This proposed legislation, which must be passed by both the upper house and President Vladimir Putin in order to become law, indicates a shift in perspective for a nation that previously chastised digital assets harshly.
Earlier this year, the Russian central bank urged a blanket ban on cryptocurrencies, citing their potential to increase individuals’ financial insecurity. However, as Russia has been more financially isolated as a result of its invasion of Ukraine, it has softened its attitude in the face of Western sanctions that have resulted in the exclusion of numerous banks from the SWIFT payments network.
Sberbank, the biggest bank in Russia, stated in March that it will soon begin creating and trading digital assets after receiving approval from the Russian central bank. This follows a February decision to provide the first licence to trade digital assets to blockchain platform Atomyze Russia.