OECD urges countries to finalize the principles of taxation of cryptoassets

OECD Tax Talks #18 – Centre for Tax Policy and Administration

OECD urges countries to finalize the principles of taxation of crypto assets

The Organization for Economic Co-operation and Development (OECD) believes that in most countries, the principles of taxation of cryptocurrencies are inconsistent and differ greatly depending on the jurisdiction.

IN report is given a number of examples, including various definitions of digital assets in regulatory frameworks. Most often, cryptocurrency is referred to as financial instruments or assets., in other cases, they are classified as goods, currencies or means of payment. IN in some countries, including the United States, they remain an uncertain asset class for tax purposes.

The situation is similar with the calculation of the cost of cryptoassets mined through mining. Most often, the course is taken as a basis at the time of their creation, but in some jurisdictions tax the income on the first sale. Several countries may even combine different rules depending on the subject in question. At the same time, high volatility further complicates the assessment of the total amount of capital..

OECD urges countries to finalize the principles of taxation of crypto assets

In the document, the OECD calls on the governments of all countries to bring more clarity to the mechanisms of taxation of cryptocurrencies, proposes to provide benefits to PoS miners due to the consumption of less electricity, as well as to simplify the system or not take into account small transactions and transactions at all.

While officials are studying these proposals, G20 members have already begun work. on the formalization of control standards and rules for the circulation of digital currencies of central banks.

text: Ivan Malichenko, photo: eudebates