Members of European Parliament (MEPs) voted in favor of a resolution that calls for the use of blockchain technology to fight tax evasion and urges member states to coordinate more on the taxing of crypto assets, according to a Tuesday press release.
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Fast facts
- The resolution drafted by MEP member Lídia Pereira is non-binding but passed in Parliament’s plenary session on Tuesday with 566 votes in favor, seven against, and 47 abstentions.
- MEPs called for more precise and broadly accepted definitions of what constitutes a crypto asset and its taxable use. The proposal highlights the conversion of crypto assets into fiat currency as an appropriate starting point for taxation.
- The document also invites authorities to consider a “simplified tax treatment” applied to occasional or small traders and small transactions.
- According to the MEPs, EU regulators and member states could also better integrate the use of blockchain into their taxation programs.
- Innovative blockchain technology could be used to automate tax collection, address corruption and better track the taxable assets of mobile taxpayers, the resolution says.
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