Connecticut Lawmaker Pitches Crypto Transaction Fee in New Bill

NEWS
Annaliese Milano
Feb 8, 2018 at 16:00 UTC

A Connecticut lawmaker has introduced a bill seeking to impose fees on cryptocurrency transactions.

Proposed Bill 5001, submitted by Representative Patricia Dillon, proposes "that the general statutes be amended to establish a fee to transfer or trade virtual currency in this state." However, the text of the proposal does not go into detail on the amount or type of fee it seeks to levy on cryptocurrency transactions, or what such a fee's benefits might be.

The proposed bill is part of a growing body of legislation seeking to regulate cryptocurrencies, though government-imposed cryptocurrency transaction charges are so far unknown in the U.S.

Elsewhere, a European Central Bank council member recently put forth the idea of requiring people who transact with cryptocurrencies in the E.U. to pay value-added tax (VAT) – a scenario already in place in Australia.

And in other use cases for the technology, U.S. lawmakers are increasingly looking to legitimize the potential benefits of cryptocurrencies and blockchain.

A new bill introduced to the Florida House of Representatives in January aims to legally recognize blockchain records and smart contracts. The measure would introduce stipulations that blockchain ledgers and smart contracts be treated as legally-binding means of recording data, so long as no pre-existing laws or regulations are infringed in the process.

Also last month, a bill submitted to the Arizona Senate would, if approved, let people pay their state tax liabilities using bitcoin or other cryptocurrencies. That bill promotes the idea of using "a payment gateway," such as bitcoin or another cryptocurrency in order to pay taxes, as well as interest and penalties, to the state government.

Connecticut State Capitol image via Shutterstock

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