Companies Using Crypto For Tax Payments In Ohio Revealed
In the latest cryptocurrency news, there are at least two companies based in the United States state of Ohio that have decided to pay taxes using digital currencies. The interesting move was revealed by none other than the state’s very own Treasurer named Robert Sprague, who gave further details about it in a forum.
Ohio’s Crypto History
It is worth noting that Ohio is not entirely new to the crypto space. In fact, it is the first state in the country to give businesses the approval to pay taxes using digital currencies, with Bitcoin being the most used one. This decision was officially performed back in November 2018.
During a forum, which was designed to cover a handful of policy issues concerning the state, Sprague revealed that the treasury has only managed to collect around two receipts. The latter, in particular, refers to tax payments performed using cryptocurrencies. He, however, did not necessarily identify the specific amount concerning the tax payments made via cryptos.
With that in mind, Sprague further detailed that the Ohio state treasury does not have the ability to manage digital currencies themselves. This statement further clarifies that they do not have the means to accept any other currency, except for the U.S. dollar, of course. In addition, the treasurer emphasized that cryptocurrency tax payments are performed via a certain crypto platform, which is specifically intended for facilitating the exchange from cryptocurrency to fiat.
Explaining Crypto Tax Payments
Sprague said that they do not intend to either accept won or renminbi, as well as crypto or other currencies. He also added that one has to find a way to relieve his debts, which should be done directly to the state and with the use of the U.S. dollar. In other words, this is the only currency that the state is accepting for now. But because of the existence of the aforementioned platform, they are able to accept payments even with the use of cryptos.
The government official revealed that the entire treasury is making moves in order to review how the program could be expanded and, more importantly, curtailed to their advantage. It is even looking for ways to determine the potential counterparty risks that could possibly surface with the vendor.
It cannot be denied that Ohio has been actively looking for a move to attract blockchain, including all businesses related to crypto management or utilization. When the state decided to pass the law enabling business to pay taxes using digital currencies, the former Treasurer Josh Mandel announced that the legislation would want to plant a flag in the state when it comes to national crypto adoption.