Brazil’s Central Bank Paves Way for Crypto Tax, Classifying Stablecoins as Forex
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A new regulatory framework from Brazil‘s central bank has set the stage for taxing cryptocurrency transactions used in international payments.
Officials revealed that the Finance Ministry is now looking to apply the IOF tax to cross-border transfers involving virtual assets, particularly stablecoins, which the bank now classifies as foreign exchange operations.
This regulatory shift closes a gap that had allowed crypto to be a tax-free alternative for moving money across borders, a practice that has exploded in popularity in recent years.
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