Argentina’s province of Mendoza announced last week on Friday that it has enabled a system that allows residents to pay taxes using cryptocurrencies.
The province’s authorities have made a strategic decision to modernize taxes and state tributes as well as tariffs and trade. This system gives residents many options to fulfill their obligations.
Nicolas Chávez, general director of the Mendoza tax administration authority, talked about the development: “It is one more door to facilitate the payment of taxes to taxpayers. This is a service offered by the payment processor with which we have incorporated new technology, such as virtual wallets and cryptocurrencies.”
Mendoza’s government announced that users will be allowed to pay taxes via any crypto wallet like Binance, Bitso and Buenbit, Bybit or Ripio.
According to the authorities, taxpayers have the ability to get a QR Code and send the funds directly from their wallets.
An unidentified third-party firm will receive cryptocurrency payments, process and convert them into Argentinian pesos and send the funds to the province’s tax administration.
The system receives only payments in stablecoins such as USDT, USDC, DAI and DAI. The system keeps volatility out of its operations by only receiving payments in stablecoins, such as USDT, USDC and DAI.
New government policies accelerate crypto adoption
Other municipalities and provinces in Argentina, as well as major Latin American economies like Brazil, Panama and Panama, have announced plans to accept cryptocurrencies for payment of taxes.
In March, Rio de Janeiro, one of the largest cities in Brazil, disclosed plans to allow the payment of a municipal real estate tax with cryptocurrencies beginning in 2023.
There were many crypto-related events in April. TBuenos Aires is the capital of Argentina and announced plans for cryptocurrency-based tax payments. Horacio Larrata, head of the government, stated that the use case would be possible in 2023, along with a blockchain based identification system.
April saw the approval of Panama’s National Assembly of a law that regulates the use and sale of crypto assets. It also allows for the payment of taxes. The law also plans to allow the country’s governing bodies to receive payments for taxes, fees, and other tax obligations in crypto assets.
The April white paper that details the country’s digital assets strategy outlines how the Bahamas government plans to allow citizens to start paying taxes with digital assets in 2026.
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