The Australian Government announced that it will support a legislative solution relating to taxes for the Bitcoin as part of a general policy statement on financial technology (Fintech).

Under the current fiscal stance in the country, Bitcoin is considered a form of barter rather than a form of money. Australian companies must pay the tax on goods and services (GST) if they sell digital currencies, and they may be responsible for tax in case that they receive them as payment.

Australia was one of the few countries where Bitcoin was taxable, putting it on par with any other currency in the country. However, that decision was met with a lot of reaction of the currency digital industry experts; because they considered that it would interfere with the growth of the financial innovation in the country.

The Government has said that it will work with the digital currency industry in Australia to find a solution, declaring: “The Government recognizes that the current treatment of digital currency under the GST Act means that consumers are in a double imposition when using digital currency to buy anything that already is subject to GST. The Government has vowed to deal with the double imposition of the digital currencies and will work with the industry on legislative options to reform the GST legislation as it applies to digital currencies.”

Having in mind that Australia wants to position itself as the region which promotes on Fintech innovation, something had to change. As much as some people want to deny, the Bitcoin and other digital currencies are the purest forms of Fintech innovation these days, because they can create financial solutions complete and accessible to anyone in the world without relying on the existing banking infrastructure.

The Government wants to make it easier for investors and new companies in the Fintech space, so you have decided to take a “develop first and worry about compliance, later” which will create an ecosystem that is more lenient for new companies and new entrepreneurs in Australia.

No doubt, some Governments can see the benefits of the use of technology in finance and want to take part of this. The focus of the Australian Government by opening the doors for discussion with the participation of experts could be the development of a future legislation right around the use of the digital currencies, and could perhaps even be adopted by other countries, it is only necessary to have vision to see the benefits that offer coins such as the bitcoin and its technology of the blockchain, without the necessity of falling into restrictions that hinder development but with regulations that generate confidence.

Do you think that they can reach an agreement between Governments and communities using digital currencies? Leave us your opinion in the comments.

Source: coindesk y newbtc

Picture: Pixabay

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