In an effort to further embrace and encourage a digital transformation, Russian President Putin has just green-lit a proposed law that will allow the government to levy taxes on individuals and companies that use the Russian digital ruble. The digital ruble was created in July 2019 as the first digital currency of a major economy. It is designed to function as a state cryptocurrency but which works alongside the regular Russian ruble.
Under the new law, profit and income from using the digital ruble would be subject to taxation. Taxes would also be applied to transactions between users, as well as corporate profits or individuals profiting from using the digital currency. The digital ruble is designed to help Russia catch up with the global digital revolution, reduce transaction costs, and increase its share of the e-commerce market.
In addition to taxation, the new law also calls for restrictions on the amount of money individuals and companies can hold in digital rubles, as well as tighter regulations to prevent money laundering and other illicit activities. It is also expected that the new laws will further promote the use of the digital ruble, as the government provides support and creates incentives for businesses and individuals that use the digital currency.
Ultimately, the goal of the Russian government is to create a unified digital currency payment system that can reach all citizens and businesses and make it easier for people to make and receive payments in the digital ruble. The new tax laws will also help the government more easily track digital ruble transactions, allowing them to better monitor and regulate its economy.
