HomeCoinsBitcoin (BTC)Kentucky Pushes Mining Tax-Breaks in Bid to Attract Crypto Community – Bitcoin...

Kentucky Pushes Mining Tax-Breaks in Bid to Attract Crypto Community – Bitcoin News

- Advertisement -


The Kentucky House Budget Committee approved a bill in a 19-2 vote to eliminate the sales tax on electricity for use in cryptocurrency mining operations. The bill, designed to attract more miners to the state, is now in the Kentucky Senate for review.

Lawmakers Urge Greater Crypto Appeal Despite Purported Costs

Motivated by the explosive growth in blockchain technology and the increased spotlight at cryptocurrencies, Kentucky lawmakers are busy crafting legislation designed to appeal to mining operations.

House Bill 230, which the House Budget Committee approved on Tuesday, is designed to encourage miners to move to the state by removing the sales tax from these operations’ electricity. The bill now moves to the state senate, where it will be reviewed alongside Senate Bill 255, which similarly calls for miner tax breaks.

More Costs Than Benefits

According to a fiscal note within the bill, this proposed legislation would cost the state’s General Fund at least $1 million in estimated annual receipts. Given the energy-intensive nature of cryptocurrency mining, that figure could rise considerably if the bills attract a mass migration of operations to the state.

The bill’s sponsor, Republican Representative Steven Rudy, recognizes the state’s cost but believes that the projected price will eventually benefit the state by attracting a “highly sophisticated, highly technical” industry.

The bill, however, is not without its detractors, as some lawmakers question whether the costs outweigh the benefit given the energy-intensive nature of cryptocurrency mining. Rudy has responded to these critiques by emphasizing that Kentucky would prefer to attract industries to the state instead of turning away business.

Still, Kentucky has shown no signs of slowing its momentum in its bid to make the state attractive for the cryptocurrency industry. Underscoring this point, economic officials have already approved Blockware Solutions incentives as the company plans to invest $28 million in a local mining operation, broadening the state’s appeal for the mining industry at large.

Do you think more U.S. states and other countries around the world will enact tax-breaks for crypto mining to attract businesses? Let us know in the comments section below.

Image Credits: Shutterstock, Pixabay, Wiki Commons, WYMT

Disclaimer: This article is for informational purposes only. It is not a direct offer or solicitation of an offer to buy or sell, or a recommendation or endorsement of any products, services, or companies. Bitcoin.com does not provide investment, tax, legal, or accounting advice. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article.



20201016023142aff i?offer id=10&file id=543&aff id=26183

Source link

- Advertisement -
Mr Bitcointe
Mr Bitcointehttps://www.bitcointe.com/
“Fact You Need To Know About Cryptocurrency - The first Bitcoin purchase was for pizza.” ― Mohsin Jameel
472FansLike
76FollowersFollow
4,567FollowersFollow
5,261FollowersFollow
1,351FollowersFollow
2,230SubscribersSubscribe

Most Popular

bitcoin
Bitcoin (BTC) $ 57,232.00
ethereum
Ethereum (ETH) $ 1,795.34
tether
Tether (USDT) $ 0.998640
bitcoin-cash
Bitcoin Cash (BCH) $ 512.88
litecoin
Litecoin (LTC) $ 191.01
eos
EOS (EOS) $ 4.23
okb
OKB (OKB) $ 14.28
tezos
Tezos (XTZ) $ 4.64
leo-token
LEO Token (LEO) $ 2.11
cardano
Cardano (ADA) $ 1.19
monero
Monero (XMR) $ 232.96
stellar
Stellar (XLM) $ 0.403100
chainlink
Chainlink (LINK) $ 27.85
huobi-token
Huobi Token (HT) $ 14.35
tron
TRON (TRX) $ 0.064292
usd-coin
USD Coin (USDC) $ 0.998792
dash
Dash (DASH) $ 211.37
neo
NEO (NEO) $ 45.07
iota
IOTA (MIOTA) $ 1.48
nem
NEM (XEM) $ 0.383711
zcash
Zcash (ZEC) $ 148.29
maker
Maker (MKR) $ 2,082.07
paxos-standard
Paxos Standard (PAX) $ 1.00
ethereum-classic
Ethereum Classic (ETC) $ 12.34
vechain
VeChain (VET) $ 0.090815
true-usd
TrueUSD (TUSD) $ 0.999256
ftx-token
FTX Token (FTT) $ 38.38
kucoin-shares
KuCoin Token (KCS) $ 5.06
waves
Waves (WAVES) $ 12.23