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The Biden administration is reportedly pushing to include global crypto data sharing rules in the $ 3.5 trillion budget. The Treasury wants crypto firms to report information on foreign account holders “so the United States can share information with global trading partners.”
Treasury wants to impose more crypto rules
The US Treasury is reportedly pushing to include more tax compliance rules on cryptocurrency transactions in the upcoming $ 3.5 trillion budget plan.
The Biden administration hopes to add requirements for crypto companies to report information on foreign account holders “so the United States can share information with global trading partners,” Roll Call reported on Monday, citing an official. of the administration who was not authorized to speak for the recording.
According to the Treasury Green Paper, “The global nature of the crypto market offers US taxpayers the ability to conceal assets and taxable income using offshore crypto exchanges and wallet providers. US taxpayers also try to avoid US tax filing by creating entities through which they can act. To combat the potential for crypto assets to be used for tax evasion purposes, third-party reporting is essential to help identify taxpayers and strengthen voluntary tax compliance.
However, to gain access to this information, U.S. officials must be able to provide the same data to other countries about their own citizens with U.S. accounts. This is part of “tax information exchange agreements,” the publication said.
This effort to impose more rules on crypto transactions follows extensive lobbying to limit the definition of a broker in the $ 1.2 trillion infrastructure bill that the Senate recently passed. Following backlash from lawmakers and the crypto community, a Treasury Department official assured that even without an amendment, non-brokers, such as miners and software developers, would not be targeted.
What do you think of the Treasury’s global crypto data sharing proposal? Let us know in the comments section below.
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