The US state of Colorado now accepts cryptocurrencies for tax payments, Governor Jared Polis announced on Monday. The option is now available on the state Department of Revenue website.
Colorado tax payments are accepted through PayPal’s crypto center with service fees of $1 plus 1.83% of the payment amount. Payments are accepted only from personal accounts in a single cryptocurrency. Companies still cannot pay their taxes through cryptocurrencies. Payments will be effective the same day they are initiated, although the transfer will take three to five days to complete. Payments are immediately converted to fiat.
Colorado’s governor said earlier this year that he hoped the state would start accepting cryptocurrency payments. In his speech at the opening of Denver Startup Week, Polis talked about the new payment option:
“We’re just showing again, from a customer service perspective, how Colorado is at the forefront of technology to meet the ever-changing needs of businesses and residents.”
Polis is a longtime supporter of cryptocurrencies and an advocate for the tech industry in his state. As a member of the United States House of Representatives, Polis was active in cryptocurrency legislation and was a founding member of the Congressional Blockchain Caucus.
I’m beyond excited to announce my campaign is dropping an exclusive collection of NFT’s!
I’ve always supported emerging technology and I’m looking forward to being among the first to implement NFT’s into campaigns. https://t.co/RS15wG8ox4
— Jared Polis (@PolisForCO) June 13, 2022
I am beyond excited to announce that my campaign will launch an exclusive NFT collection!
I have always supported emerging technology and hope to be among the first to implement NFT in campaigns.
Other states have tried to institute the payment of taxes in cryptocurrencies. Ohio was the first to do so in 2018, but discontinued service a year later due to legal complications. New Hampshire repeatedly tried to adopt cryptocurrency tax payments, but the bills did not make it out of the state legislature, and states including Georgia, Illinois and Arizona have considered it.
American cities have also shown interest in accepting cryptocurrency payments. Denver, the capital, was listed as one of the top US cities for crypto hires in 2021.
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