Brazilian lawmakers approve legislation to raise taxes on cryptocurrencies held overseas

2023/08/12 17:25

Brazilian lawmakers have approved amendments to a bill that would increase taxes on cryptocurrencies held overseas. The legislation recognizes cryptocurrencies as "financial assets" for tax purposes in foreign investments and taxes gains from fluctuations in crypto asset prices against Brazil's fiat currency and foreign exchange rate fluctuations. The changes aim to promote equal tax treatment as crypto investments abroad currently receive lower tax breaks. The new rules could make local exchanges a more cost-effective option for some investors and have the potential to boost activity on national crypto exchanges. The bill will be voted on by Congress on August 28 and, if approved, will take effect in January 2024.
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