Ukrainian Parliament Passes First Reading of Cryptocurrency Legalization and Taxation Bill

BlockBeats News, September 4th, according to a report by Cointelegraph, Ukrainian MP Yaroslav Zhelezniak revealed that the Ukrainian parliament passed the first reading of a cryptocurrency legalization and taxation bill on Wednesday. If the bill is ultimately signed into law, it will have a significant impact on Ukraine's digital asset economy.

The bill received support from 246 MPs in the first reading vote. The draft bill stipulates that digital asset profits will be subject to an 18% income tax and a 5% military tax. The announcement also stated that the bill sets a 5% preferential tax rate for fiat-crypto exchanges in the first year.

The proposed 23% tax rate aligns with recommendations from the Ukrainian financial regulator in April. The initial proposal included exemptions for cryptocurrency-to-cryptocurrency transactions and stablecoin transactions, making Ukraine's crypto tax regime more similar to crypto-friendly countries.