Kazakhstan President Kasım Cömert Tokayev made a call at the beginning of February for the country to combat power cuts, cryptocurrency signed tax law amendments aimed at increasing taxes on miners.
In February, Tokayev said the rate of 1 Kazakh Tenge (US$0.0021) per kilowatt power was “too low” and instructed the government to increase the tax as soon as possible and come up with a proposal to regulate cryptocurrency mining by April 1. 1 tenge tax came into effect on 1 January.
According to the published changes, the new tax rate will be determined by the average price of electricity consumed for mining cryptocurrencies during a given tax period.
Cryptocurrency miners who used to pay tax of up to 1 tenge will now pay tax of up to 25 tenge
According to the new regulation, the new tax will be 1 tenge for miners who pay more than 24 tenge per kWh for electricity, and 25 tenge for miners who pay less than 1 tenge per kWh for electricity. Other miners will be taxed between the two values, based on the electricity fee they pay.
The law raises the tax-inclusive electricity price to around 25 tenge, or 5 cents, per kWh, with some exceptions. This price is around the maximum price that miners seek in other countries such as the USA and Canada.
The changes will take effect on January 1.
The Central Asian country has been around the world until a short time ago. bitcoin It was one of the countries where mining was done the most.
*Not investment advice.