Ukrainian miners will be allowed not to pay taxes

The third bill on regulation of the cryptocurrency market has already been submitted to the Verkhovna Rada. Head of the Committee on Tax and Customs Policy of the Verkhovna Rada of Ukraine Nina Yuzhanina noted that the document offers simplified taxation for transactions with cryptocurrencies

This bill proposes not to consider income from transactions with cryptocurrencies as a taxable base.

“To create an effective mechanism for stimulating the cryptocurrency market in Ukraine, a logical step would be to exempt from taxation the profits of enterprises received from transactions for the purchase/sale of cryptocurrencies. Income from transactions with cryptocurrencies should not be included in the calculation of the total monthly (annual) taxable income, and transactions with cryptocurrency and mining (mining) should be classified as operations that are not considered object of taxation,” says the draft law.

Thus, cryptocurrency mining in Ukraine can become a profitable business against the backdrop of the economic crisis.

The extraction of cryptocurrencies (mining) and their purchase and sale by people do not violate the current Ukrainian legislation, therefore they are not punishable in this country. "At its core, cryptocurrency mining is the extraction of encrypted and limited quantity of cryptocurrency program code, the required combination for which is formed by selecting many numerical variations. Simply put, mining is a computational activity. The current legislation of Ukraine does not contain any prohibitions on the implementation of such activities, and therefore cryptocurrency mining itself does not violate the current legislation," assured the managing partner of the Ukrainian law firm Suprema Lex, lawyer Victor Moroz.

From a legal point of view, Bitcoin, Ethereum, Pipple, Litecoin and any other cryptocurrencies in the world today are compared more with computer games than with a means of payment.

“Currently, cryptocurrency mining violates the legislation of Ukraine as much as the extraction of game gold, mana or any other resources in a computer RPG game,” assured Sergey, head of the banking and financial law practice at N&D Law Firm. Papernik.

Note that in Russia it is proposed to introduce control and accounting of transactions with cryptocurrencies, for which it is planned to introduce control chips into mining equipment.

According to http://dengi.ua