Nevada Becomes First US State to Ban Blockchain Taxes

Nevada has become the first state to ban local governments from taxing blockchain use.

CoinDesk reported yesterday that Nevada's legislature had cleared the bill, first introduced in March, and sent it to Governor Brian Sandoval for approval. Public records showhttps://www.leg.state.nv.us/Session/79th2017/Reports/history.cfm?BillName=SB398 that Gov. Sandoval approved the measure yesterday, enshrining it in state law.

In addition to preventing local governments from taxing the use of a blockchain or smart contract (or requiring a licensure for their use), the bill stipulates "if a law requires a record to be in writing, submission of a blockchain which electronically contains the record satisfies the law" – meaning that data from a blockchain can be introduced in "proceedings".

The measure enjoyed broad support in the Nevada legislature, public records show. The Senate advanced it by a 21-0 vote in April, followed by the House of Representatives, which also passed it unanimously.

It's the second blockchain-related bill to be signed into law in recent days. On 29th May, Arizona Governor Doug Ducey signed a bill that recognizes the legality of blockchain signatures and smart contracts.

Image via Shutterstock