Arizona has a new bill which proposes to use bitcoin to pay income taxes.
The bill was represented by 4 senators from the Republican party Warren Petersen and David Farnsworth, Travis Grantham and Jeff Winninger.
Code bill SB 1091, a short name sounds like “income tax: bitcoin”. While the bill is relevant to the state of Arizona, but if it is adopted and works, it could provide the impetus for Federal law.
In addition to the old-fashioned way of paying taxes in America is checks, the bill also proposes to use
Bitcoin or any other cryptocurrency that uses peer-to-peer electronic system. The Department must convert the bitcoin payments into U.S. dollars at the current rate within 24 hours after receiving subsequent admission to a particular taxpayer.
Of course there are risks, the main of which is the high volatility of bitcoin. For example, the price of bitcoin in early 2017 was about US $ 1,000 and almost 20 000 US dollars at the end of the year.
Arizona is not the only state in the U.S. where there was a proposal to use bitcoin to pay taxes. Last year at about this time the policy of new Hampshire has introduced a similar bill. However, this bill was never adopted.
Meanwhile, Arizona different from other States for its progressive attitude towards new technology. Governor Doug Daishi, for example, is a supporter of the sharing economy. In 2016, he signed a law which provides for the use of blockchain technology in contracts of sale and rent. So it’s possible that in Arizona the bill for the payment of taxes in bitcoin will suffer a better fate.