President of Kazakhstan asks to quintuple taxes for crypto mining – DiarioBitcoin

President of Kazakhstan asks to quintuple taxes for crypto mining - DiarioBitcoin

President of Kazakhstan asks to quintuple taxes for crypto mining - DiarioBitcoin For DailyBitcoin Editor

A crypto mining tax was recently introduced in Kazakhstan, but the president wants more: a fivefold increase in the amount of tax.

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Kazakhstan President Kassym-Jomart Tokayev has called for an even higher tax on crypto mining. This occurs only six weeks after a new tax on the industry came into force, which began on January 1, 2022. This was reported by the news media in the Asian country.

In Tokayev’s words, the current rate of 1 Kazakh tenge ($0.0023) per kilowatt of power is negligible. For this reason, he instructed the government to increase the tax as soon as possible and submit a full proposal for the regulation of crypto mining by April 1.

New rate

The new tariff could reach 5 tenge per kWh ($0.012), and miners may have to pay import duties on their equipment, First Deputy Finance Minister Marat Sultangaziyev said, according to country media reports.

Crypto mining does not create many jobs and consumes large amounts of electricity, with some miners paying less for electricity than the public, the president stressed today. They also do not pay taxes on imported equipment.

Many crypto miners moved to Kazakhstan after China cracked down on the industry in 2021. The central Asian country once had a surplus of electricity, but since the influx, the national grid has been struggling to meet demand. say the media.

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The national grid operator cut power to all mines on January 21. The measure was supposed to last until the end of January, but the miners told CoinDesk The electricity has not yet been restored.

The government is also trying to eradicate “grey mining”, that is, operations that are not properly registered and authorized.
The president instructed the Financial Supervision Agency to identify all mining companies and verify their tax and customs records before March 19.

Around January 10, the crypto miners of Kazakhstan were affected by the critical situation in the country, with multiple anti-government protests, which resulted in Internet service cuts. Given this situation, a Spanish deputy proposed that they move to the Iberian nation, although her proposal was not well received in the country.

Sources: coin desk, archive

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WARNING: This is an informative article. DiarioBitcoin is a means of communication, it does not promote, endorse or recommend any investment in particular. It is worth noting that investments in crypto assets are not regulated in some countries. May not be suitable for retail investors as the full amount invested could be lost. Check the laws of your country before investing.

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