Tax Benefits for Bitcoin Businesses in Belarus Extended Until 2025 – Alexander Lukashenko, the president of Belarus, has approved the extension of tax benefits for crypto firms registered in Belarus and industry people. The Belarusian leader signed Decree No. 80 “On Certain Issues of Taxation.”
The document extends the tax benefits introduced by Decree No. 8 “On the Development of the Digital Economy” by Lukashenko on December 21, 2017. The latter, which went into effect on March 28, 2018, legalized a variety of crypto-related activities in the country.
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Only residents of the Belarus High-Tech Park (HTP) are eligible for the regulations and tax benefits. Its unique legislative framework authorizes the issue and circulation of cryptocurrencies and tokens, and the Belarusian government is now attempting to promote their growth.
The recent decree by Lukashenko exempts the sales and profits of such organizations from value-added tax (VAT) and profit tax until January 1, 2025. Individuals will be exempted from income tax within the same time period for income received from mining, acquiring, exchanging, or selling crypto assets for fiat currencies.
The president has also directed the Administration of the HTP, in collaboration with interested parties, to submit a strategy for the ongoing development of the crypto sphere in Belarus by July 2024. The decree becomes effective upon publication, but also applies to the first months of the year, as the tax exemptions expired on January 1, 2023.
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In addition to assisting regulated crypto firms, the Belarusian government has been pursuing illicit operations. In August 2022, Belarusian authorities filed an international arrest order for the owner of Bitok.me, the country’s largest unregulated cryptocurrency exchange. In addition, a Belarusian national was fined $1 million in January of this year for unlawful cryptocurrency trading.