Bill Allowing New Hampshire To Accept Taxes In Crypto In Crucial Stage
A Bill allowing New Hampshire state agencies to accept cryptocurrencies as mode of payment for taxes has been unanimously approved by the House Subcommittee.
HB 470, proposed by Reps Dennis Acton and Michael Yakubovich in the first week of January, passed a key phase after weeks of deliberations by lawmakers.
“The state treasurer, in consultation with the Commissioner of the Department of Revenue Administration and the Commissioner of the Department of Administrative services, shall develop an implementation plan for the state to accept cryptocurrencies as payment for taxes and fees beginning July 1, 2020,” the Bill states.
The law will address any accounting, valuation, and management issues related to the acceptance of cryptocurrency, and identify a third party payment processor that will process cryptocurrency transactions at no cost to the state.
If the Bill passes both houses of New Hampshire, the state treasurer should submit the proposed plan to accept tax payments in cryptocurrencies by November 1, 2019, to the Governor, the Speaker of the House, and the Senate President.
“Pursuant to any criteria or procedures established in the implementation plan, a state agency may accept payment in cryptocurrencies on or after July 1, 2020,” the Bill says.
It will now go to the executive branches for their approval.
The House Subcommittee approved the Bill after expressing some doubts and warning of possible complexities that may arise when the plan is implemented.
The Department of Administrative Services (DAS) indicated that without a plan, lack of knowledge of the future value of cryptocurrencies and which agencies may choose to accept cryptocurrencies, and whether an appropriate third party payment processor that will process cryptocurrency transactions at no cost to the state can be identified, the fiscal impact of this bill cannot be determined.
Ohio is the only US state that allows businesses to pay taxes in bitcoin, which would be converted into dollars by a third party.
The state accepts payments in bitcoin cash (BCH) and bitcoin core (BTC) for 23 types of business taxes.
In a three-step process, businesses log in to the OhioCrypto.com portal, enter tax details and transmit the payment using a compatible bitcoin wallet.
Bitcoin processor BitPay would then convert the cryptocurrency into a U.S. dollar equivalent, which would be passed to the office of the Ohio Treasurer.
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