Yesterday, Republican member of the U.S. House of Representatives Matt Gaetz asked the Secretary of the Department of the Treasury (DOT) to set up a plan to accept local people to pay federal income taxes through Bitcoin, claiming that it would modernize the tax system, promote innovation, and improve administrative efficiency. After speaking, political operations involving encryption issues once again appeared in front of everyone.

House of Representatives proposes to let people pay taxes in Bitcoin

Rep. Matt Gaetz introduced a bill on Tuesday that would require the Internal Revenue Service (IRS) and the Secretary of the Treasury to develop a plan that would allow people to pay their federal income taxes through Bitcoin.

The statement reads that Gaetz realized the advantages of Bitcoin in promoting financial stability and creating jobs in Central America when he attended the second inauguration of El Salvador President Nayib Bukele:

This groundbreaking legislation will use Bitcoin to modernize our tax system, promote innovation, improve capital efficiency, and provide American citizens with more financial flexibility.

And added, "This is a bold step into a future where digital currencies will play an important role in our financial system and ensure that the United States remains a leader in technology."

Only one state in the U.S. allows cryptocurrencies to pay taxes

According to an announcement from the Colorado Department of Revenue (DOR), this is currently the only state in the United States that accepts people using cryptocurrency to pay taxes.

Colorado Department of Revenue (DOR) official website announcement

It is reported that Colorado will accept payment of corporate and personal income taxes through cryptocurrency starting in September 2022, and the authorities will also charge an additional US$1 plus a service fee of 1.83% of the payment amount.

Previously, Republican Senator Ted Cruz also pushed for a bill last year that would require stores in Capitol Hill (the name of the community) to accept cryptocurrency payments, but it has not yet been voted on.

Crypto issues become political bargaining chips

It is an election year in the United States, and it has become commonplace for politicians to use hot topics to divert public attention and avoid media reports that are unfavorable to them.

However, the cryptocurrency issue seems to have become the latest means for some US lawmakers to confuse the public. Chain News will point out several obvious political operations below:

Matt Gaetz

As mentioned above, Gaetz expressed his support for the inclusion of Bitcoin in paying federal taxes yesterday. In addition to his previous support for the Financial Innovation and Technology Act of the 21st Century (FIT21), this is a rare public statement of his stance on digital assets. .

(The key to getting rid of SEC supervision! What are the definition conditions of "decentralized network" in the FIT21 bill? The public chain killer is coming)

Interestingly, the House Ethics Committee announced just last week that it was investigating Gaetz for allegations of sexual misconduct and illegal drug abuse.

At this point, the proposal can’t help but make people wonder whether it is a means to divert people’s attention.

Trump

Another classic example is US presidential candidate Trump. After announcing his candidacy, he talked about his stance on encryption. He not only launched a number of NFT collectibles, accepted cryptocurrency donations, but also promised to protect Bitcoin mining.

(Trump vows to end the encryption law enforcement war and advocates the entry of the encryption industry into Florida)

Faced with the potential threat from another candidate, Biden, Trump began to regard these issues as core bargaining chips in the campaign. At the same time, he is facing a number of controversial criminal and civil lawsuits.

Last month, Trump, 77, became the first president in U.S. history to be convicted of a crime, facing 34 felony convictions, up to four years in prison on each count and hundreds of millions of dollars in damages for defamation and fraud.

(The first time in the history of a U.S. president! Former U.S. President Trump was convicted of 34 charges for hush money, and the sentencing was postponed)

This article: U.S. House of Representatives proposes to require the Internal Revenue Service to accept Bitcoin for tax payment, has the encryption issue become a political tool? First appeared in Chain News ABMedia.