Australia in July this year will be officially recognized bitcoin currency, and stop tax
In July 1, 2017, bitcoin officially became the currency in Australia will be, and will be exempt from consumption tax. Since then, bitcoin bitcoin traders and investors trading on a regulated exchange and trading platform will no longer pay taxes.
Over the past two years, the Australian currency trading market in the more behind the catch up from behind new markets, such as South Korea, including Japan and South Korea will control more than half of the global bitcoin trading market share.
At present and other digital currency bitcoin related start-up companies, and exchange companies choose to stay out of the country, this phenomenon has two factors: the major Australian banks of the relevant bank service is terminated due to its anti competitive characteristics, the Australian government bitcoin transactions double taxation.
However, from July 1st onwards, bitcoin double tax, transaction tax and goods and services tax will be exempted. In the 2017 to 2018 “to support innovation and FinTech” in the budget, the Australian government wrote:
“The government will assist the digital currency business innovation more convenient to carry out business in the country. From July 1, 2017 onwards, the purchase of digital currency will not be levied on the consumption tax, and digital currency as the currency. At present, consumers in the use of digital money, need to pay two tax, a purchase, another is the use of digital currency stocks to buy other goods and services.”
The government will also provide protection for enterprises and bitcoin exchange
More importantly, the new vision of the Australian government is to promote the development of FinTech and digital currency market, this will prevent local banks and financial institutions have refused to bitcoin company and exchange service phenomenon.
If these problems can be solved in July 1st, then Australia bitcoin market in the user base and the trading volume, will likely usher in rapid development. The document also wrote:
“The development of innovation will drive productivity in australia. This is why the government will invest $1 billion 100 million worth of national innovation and science agenda (NISA) to help Australia to take advantage of new economic opportunities. The government is trying to create Australia as the world’s leading FinTech center, and announced a new package, aimed at the domestic FinTech industry to create a world leader.”
Earlier this week in New Zealand Oakland held “blockchain New Zealand” meeting, bitcoin and security experts AndreasAntonopoulos discussed do not interfere with the Australian government on the local behavior of the bitcoin market, and bitcoin exchange business and influence.
In addition, Antonopoulos also criticized the local government bitcoin tax policy, this policy fundamentally, enterprises and users from Australia to other countries.
“The government can choose what to do, but will make the situation worse encrypted currency transactions — like Australia for all encryption currency transaction tax, or through the control of bank and encourage enterprises to create a fair environment to participate in, so as to make the encryption currency businesses are more likely to survive.”
With this new policy in Australia, will be greatly improved bitcoin local ecological system. The bank will start providing services to bitcoin exchange, traders in the purchase of bitcoin is also no longer need to pay consumption tax.