Russia reportedly to introduce mandatory declaration of cryptocurrency

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The Russian Ministry of Finance drafted laws to regulate cryptocurrencies and counter money laundering through digital assets. It proposes to introduce criminal liability for the lack of declaring cryptocurrencies.

The Ministry of Finance sent out to interested departments a package of bills aimed at regulating the turnover of cryptocurrencies in Russia. The bills provide for amendments to the Criminal Code, the Criminal Procedure Code, the Code of Administrative Offenses, the Tax Code and the law on combating money laundering. The meeting to discuss the bills is scheduled to be held this week, Russian newspaper Kommersant reports citing sources in several ministries.

According to the text of the bills, the Russian Ministry of Finance proposes to oblige individuals and legal entities to declare digital assets if their turnover in a year is worth more than 100,000 rubles ($1300). The ministry insists on the mandatory filing of an annual report to the tax service on transactions with such assets and on the balances of these assets.

It is proposed to issue a fine worth 30% of crypto assets, but not less than 50,000 rubles ($650) for failure to report digital assets to the tax authority.

Moreover, it is supposed to make an amendment to the Criminal Code, which recognizes the use of cryptocurrency as an aggravating circumstance in crimes.

In addition, the Ministry of Finance proposes to oblige foreign organizations, such as crypto exchanges, stock exchanges, depositories, trading platforms, wallets, to send financial information to Russian tax authorities on a quarterly basis about the operations of Russians with cryptocurrency.

The Russian Ministry of Finance told Kommersant that there are still no final decisions on the regulation of digital currencies, and also added that world practice and the FATF recommendations offer two options, which are controlled turnover or a complete ban, and both are being discussed in Russian government.

Via: 2Coinfox.info

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