Argentina Withdraws Crypto Asset Amnesty Bill

The Argentine authorities have abandoned a tax amnesty proposal for cryptocurrencies. The initiative would have allowed recognition of ownership rights and exempted assets valued up to $100,000 from tax consequences, according to Bitcoin.com.

Under the proposal, assets exceeding this limit would be taxed at 15%. Its implementation could have reduced government administrative costs.

The proposal was included in a bill concerning the foundations and starting points of Argentine freedoms.

The document aimed to promote reforms in several areas, including granting legislative powers to President Javier Milei, bypassing Congress.

Interior Minister Guillermo Franco explained the decision was due to a lack of consensus among lawmakers regarding taxation.

According to the publication, the sale of cryptocurrency and income derived from such sales constitute a taxable event, whereas mere ownership does not entail obligations.

The government recognizes cryptocurrencies as a financial asset.

The tax base will be determined by the latest market value calculated on December 31 of each year.

Earlier, the Argentine government approved the use of Bitcoin as a currency for contracts.