Tax payment in Switzerland with Bitcoin and Ether

Dhe Swiss canton of Zug has long been known primarily for its low tax rates. Meanwhile, the area south of Zurich also stands for its pioneering role in the field of digital currencies and the Blockchain technology. The steady influx of smart developers and digital adventurers made the region on Lake Zug the “Crypto Valley” – a catchy title with which the cantonal government is eager to advertise, but which it also supports with its own high-profile actions.

As of this week, companies and citizens can have their Taxes Pay with Bitcoin or Ether up to an amount of 100,000 francs. “As the home of the Crypto Valley, it is important to us to promote and simplify the use of crypto currencies in everyday life,” said Zug’s Finance Director Heinz Tännler, explaining this step.

If you want to use this offer, the tax authorities will send you the QR code required for this by email. The payments, which are immediately converted into Swiss francs and are therefore not intended to pose any risks to the state coffers, are processed by the local service provider Bitcoin Suisse.

A distributed database

The openness of the local authorities to the brave new crypto world has contributed to a real settlement boom in the canton of Zug, which began in 2014 – when Vitalik Buterin, the inventor of the most famous cryptocurrency after Bitcoin, settled there Ethereum. The decisive factor, however, was the liberal regulatory approach: the ambitious digital pioneers were able to launch their “Initial Coin Offerings” (ICO) without any problems and collect millions of dollars or francs to finance their projects.

.

Leave a Comment

This site uses Akismet to reduce spam. Learn how your comment data is processed.