Congressman Matt Gaetz has introduced revolutionary legislation to allow federal income tax payments in Bitcoin. If that happens indeed, there's going to be another huge milestone on a path to mass Bitcoin adoption.
The bill aims to amend the Internal Revenue Code of 1986. It would require the Treasury Secretary to develop a plan for accepting Bitcoin as payment.
The Florida Republican's proposal seeks to modernize the tax payment process. Gaetz believes this move will promote innovation and increase efficiency. He also thinks it will offer more flexibility to American citizens. They will definitely benefit from having new options of paying taxes.
"This is a bold step toward a future where digital currencies play a vital role in our financial system," Gaetz told The Daily Wire. He added that this would ensure the U.S. remains at the forefront of technological advancement.
The bill outlines very specific requirements for the Treasury Secretary. These include establishing regulations for Bitcoin acceptance and determining when payments are considered received. It also mandates the immediate conversion of Bitcoin to its dollar equivalent.
The legislation addresses related non-tax matters, contracts, fees, and liability. It states that the Secretary shall develop a method to allow Bitcoin payment of any tax imposed on an individual.
This proposal follows a surge in Bitcoin support among US politicians. Presidential candidates Donald Trump and Robert F. Kennedy Jr. now accept Bitcoin payments. The Biden campaign is reportedly considering accepting cryptocurrency donations. What else could Biden do? He is considered to be Bitcoin public enemy number 1, as of now.
Biden Administration officials are expected to attend a Bitcoin roundtable in Washington D.C. Congressman Ro Khanna will host the event. It clearly comes in response to Donald Trump's embrace of Bitcoin.
Coinbase CEO Brian Armstrong recently met with senators from both parties. The discussions focused on creating clear rules for the crypto industry.
U.S. Congressman Thomas Massie has also shown interest in cryptocurrency. He recently announced plans to introduce a bill to end the Federal Reserve. Massie attributed this decision to reading "The Bitcoin Standard" book.