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Brazil’s Congress moves to levy higher taxes on cryptocurrencies

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Brazilian lawmakers are moving forward with a legislation that would raise taxes on cryptocurrencies held overseas. According to local reports, a congressional committee has approved amendments to a bill that recognizes cryptocurrencies as “financial assets” for tax purposes in foreign investments.

In addition, the draft bill taxes gains from fluctuations in crypto asset prices against Brazil’s fiat currency, as well as foreign exchange rate fluctuations. According to congressman Merlong Solano, the revision seeks to promote equal tax treatment since crypto investments abroad currently receive lower tax breaks.

The legislation places crypto assets held by Brazilians overseas under the same tax rules as traditional assets.

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