While the crypto market continues to see an abundance of red on the charts, it received a massive nod of approval on November 25, 2018. The Wall Street Journal reports the U.S. state of Ohio is set to become the first in the country to allow payment of taxes through bitcoin.
Businesses Can Pay Taxes in Bitcoin
From November 26, 2018, business entities in the state of Ohio will have the option to pay their taxes in the form of bitcoin. The decision by Ohio diplomats to enable payment through bitcoin also makes it the first state in the country to accept cryptocurrency for taxes.
To avail this service, companies can log in to ohiocrypto.com and pay the due tax. Notably, the payment in bitcoin is not limited to a particular kind of tax. The WSJ notes that tax payments can range from cigarettes sales tax to employee withholding taxes.
It is speculated the decision was taken keeping in mind the current Ohio treasurer, Josh Mandel’s vision to establish a more tech-friendly image for the U.S. state. It’s worth highlighting that Ohio has already jumped into the blockchain bandwagon, as the state recently developed a legislative framework for the emerging technology to secure electronic records across a wide range of industries.
Other States to Follow Suit?
In a similar development earlier this year, the U.S. state of Arizona was contemplating a decision that could see people pay their taxes using the premier cryptocurrency. However, the development never came to fruition as the crypto-centric bills on the floor of Arizona Congress couldn’t make it past the state legislature.
The crypto-friendly move in Ohio has largely been attributed to the state’s treasurer, Josh Mandel. The WSJ reports Mandel is looking to “plant a flag” for Ohio to be the leader in cryptocurrency adoption. He stated he “sees [bitcoin] as a legitimate form of currency.”
Further, Mandel told journalists he is “confident that this cryptocurrency initiative will continue” after his term ends January 2019.
Clearing air about any unwanted pressure or influence, Mandel reiterated that the decision to accept digital currency was taken “without approval from the legislature or governor.”
That being said, it remains to be seen how much the service is utilized by the people. As the global digital currency market continues its free-fall, reaching new longs every passing week, development of such scale is a welcome respite from the industry bloodbath.