The main financial regulator of Ukraine is floating the idea of taxing cryptocurrencies as personal income, with possible talents for certain stable backed by foreign assets, under a fiscal matrix recently proposed published on Tuesday.
In a translated letter that introduced the new potential approach, Ruslan Magomedov, head of the National Commission of Ukraine Securities and Securities, said that effective fiscal policy is a necessary step to prevent financial abuse and facilitate the “legal and responsible use of digital assets.”
“Establishing fair and understandable fiscal rules is also a previous requirement to attract investments and integrate the Ukrainian virtual asset market in the world financial market,” Magomedov added.
According to the suggested fiscal scheme of the NSSMC, certain cryptographic transactions, essentially those in which cryptocurrencies do not establish are charged by fiduciary currency or exchanged for goods or services, and during which there were no financial losses of the transaction of the transaction in the transaction of Ukraine of 18%, plus 5% of additional releases that entered in effect last December.
Cryptographic to cryptographic transactions would not be subject to tax under the proposed fiscal matrix, which is in line with the way in which several other European countries, including Austria and France, as well as cryptographic jurisdictions such as Singapore, handle cryptographic taxes.
Because the Ukraine Tax Code exempts any income generated from transactions with currency values to be taxed, the NSSMC suggested “makes sense to consider a preferential rate or exemption of taxes” for the established established by foreign assets and certain tokens () referenced by assets (arts). The suggested preferential tax rate could be 5% or 9%.
The matrix also offered a variety of tax options for other types of cryptographic transactions, including mining, which the NSSMC suggested could be considered a “commercial activity”; Bet, which according to the regulator could be “considered as a commercial captive income” or taxed only in the cash; as well as hard cards and aircops, which the regulator said it could be taxed as ordinary income or only in the cash.
Ukraine had previously introduced a bill similarly in modification of the country’s tax code to cover the cryptocurrency in 2023. An analysis of 2024 of the Blockchain Swiss Global Ledger analysis firm discovered that Ukraine could support more than $ 200 million in annual taxes of cryptographic transactions.
The Ukrainian president, Volodymyr Zelensky, officially legalized the country’s cryptocurrency sector in 2022, determining industry regulators and giving them the approval to create specific regulations. The National Bank of Ukraine is currently working on a bill based on the markets of the European Union (EU) in the regulation of cryptographic assets (Mica).
Ukraine has been a candidate for EU membership since 2022.
Coendesk contacted the NSSMC for a comment.
