The US government’s budget for fiscal year 2023 included some $11 billion in revenue over the next decade from modernizing rules around digital assets.
According In US President Joe Biden’s fiscal year 2023 budget released by the White House on Monday, changing the tax rules on digital assets will reduce the deficit by $10.9 billion between 2023 and 2032. The White House said that ” modernize rules” to include certain taxpayers reporting holdings of digital assets in foreign accounts, amending mark-to-market rules to include digital assets and requiring financial institutions and brokers to report additional information. In addition, it proposed “treating securities lending as tax-free to include other asset classes and address income inclusion.”
The Biden administration estimated that modernizing tax rules to include digital assets will bring the government $4.9 billion in revenue in 2023. In addition, the budget included USD 52 million to combat “the misuse of cryptocurrency” expanding the Department of Justice’s ability to deal with cyber threats in the United States. The funding will provide the government agency “more agents, greater responsiveness, and greater ability to collect and analyze information.”
President Biden said his administration was on track to reduce the US deficit by more than $1.3 trillion in 2022.. Among the president’s proposals to increase government revenue is to require a 20% income tax rate on US households with more than $100 million, roughly 0.01% of households, according to the White House. .
Under @POTUS‘s leadership, America is on the move again.
-We created more than 6.5 million jobs in 2021.
-Our economy had the strongest growth in nearly 40 years.
-The unemployment rate has fallen to 3.8%.
-And the deficit fell last year by over $350 billion. pic.twitter.com/lkiH9pZvTb— The White House (@WhiteHouse) March 28, 2022
Under the President’s leadership, America is on the move again.
-We created more than 6.5 million jobs in 2021.
-Our economy had the highest growth in almost 40 years.
-The unemployment rate has fallen to 3.8%.
-And the deficit was reduced last year by more than 350,000 million dollars.
The budget proposal came after Biden signed an executive order on March 9 establishing a regulatory framework for digital assets in the United States. The order will require government agencies to explore the possible deployment of a digital dollar, as well as coordinate and consolidate policy on a federal framework for cryptocurrencies.
The current US administration has considered cryptocurrencies both in its budget estimates and in a regulatory framework. However, the world’s largest democracy recently voted to establish a framework on digital assets through tax policy. On Friday, Indian lawmakers passed a finance bill that included an amendment for a 30% tax on digital assets and non-fungible token transactions. In addition, the framework will not allow the deduction of business losses when calculating income.
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