Now that an NFL team will soon call Las Vegas home, the state of Nevada appears intent on strengthening its blocking skills.
Recently, Nevada became the first state in the U.S. to preempt local tax jurisdictions from taxing commercial transactions that use blockchain technology. The bill, signed into law by Governor Brian Sandoval on June 5, also prevents local authorities from requiring a certificate, license or permit for use of the technology. (For a quick briefing on blockchain, check out this Learning Lab post.)
Nevada has strong reasons, beyond maintaining its famous pro-business policy, to promote the burgeoning blockchain economy within its borders. Blockchain technology is, of course, at the core of bitcoin – and Las Vegas is home to some of the most profitable bitcoin ATMs in the world, according to Fast Company.
While Nevada’s tax policy is certainly unique, it’s not the only state to have passed blockchain legislation. Last year, Vermont passed a law making blockchain data admissible in court, and Arizona passed a similar law recognizing blockchain signatures and smart contracts in March 2017.
Will other states soon adapt a pro-blockchain policy? As always, we’ll keep you posted as new developments unfold.
Please remember that the Tax Matters provides information for educational purposes, not specific tax or legal advice. Always consult a qualified tax or legal advisor before taking any action based on this information.