Russian Duma Passes Bill on Cryptocurrency Taxation in First Reading

The Russian State Duma has approved a bill on cryptocurrency taxation in its first reading. The document aligns the Tax Code with the forthcoming law 'On Digital Currency and Digital Rights.'

The tax base for cryptocurrency transactions is proposed to be determined as the positive difference between income and documented expenses. This will be calculated using the FIFO method, which stands for First-In-First-Out.

Brokers, trust managers, and digital depositories will act as tax agents for Personal Income Tax in such operations if they are the source of income payment to an individual. The State Duma Committee on Budget and Taxes suggested discussing the extension of these functions to exchanges for the second reading.