Monika Miles - Three Ways State Taxes And Technology Intersect

As we welcome the New Year, I thought it would be fun to look at a few areas where state tax laws and technology are coming together. Keep reading for three different updates that share ways modern tech is affecting states’ revenue.

1. Ohio Accepts Cryptocurrency for State Tax Payments

Cryptocurrency like Bitcoin has been around for a while now, yet Ohio is setting an interesting state tax precedent by allowing businesses to pay their fees with the digital currency.

This is especially interesting as these types of currency are known for volatility. However, the state’s taken this into consideration. OhioCrypto explains:

Payments made on OhioCrypto.com, through our third party cryptocurrency payment processor partner BitPay, are immediately converted to USD before being deposited into a state account. BitPay sets the exchange rate for a 15 minute allotted time window for each transaction once a business taxpayer begins to make their payment at OhioCrypto.com. BitPay assumes the risk of any market fluctuations during the allotted time window.

While the taxpayer will need to pay transaction, network and mining fees, the cost to the business seems to be less than if they paid their state tax fees through Ohio’s credit card service provider.

It will be interesting to see if other states decide to begin accepting cryptocurrency for state tax payments in the future.

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