According to the information shared by Bloomberg Linea, Brazil’s second largest city, Rio de Janeiro, as of 2023. bitcoin and cryptocurrencies It will make it possible to pay property tax.
Taxes Paid with Bitcoin and Cryptocurrencies Will Be Converted to Brazilian Reals
According to information from Rio de Janeiro Municipal officials, the city will hire several companies that will be responsible for converting cryptocurrencies into Brazilian reals.
However, the city also plans to develop its own NFT collection, which will include photographs of Rio de Janeiro’s most famous attractions.
According to Pedro Paulo, the city’s finance and planning secretary, the aim of this plan will be to both support the city’s tourism activities and support local artists through NFTs.
However, these initiatives of Rio de Janeiro on Bitcoin and cryptocurrencies are not surprising, in fact.
Rio de Janeiro Mayor Eduardo Paes announced his plan to put 1% of the city’s treasury in crypto during a meeting with Miami Mayor Francis Suarez.
Additional Discounts for Tax Payers with Cryptocurrencies
In addition, Paulo claimed in his statement that the city plans to offer additional discounts to its citizens who want to pay their taxes with cryptocurrencies.
Last month, the economic affairs committee of the Brazilian Senate unanimously gave the green light to a bill regulating the domestic cryptocurrency market.
While defining the virtual assets and the responsibilities of the service providers, the criminal liability and fines that may arise in case of breaking some rules were also specified in the legislation text.
In addition, the Central Bank of Brazil is working on its own central bank digital currency (CBDC).
*Not investment advice.