- The Ley Ómnibus reform bill by Argentine President Javier Milei initially included provisions to tax cryptocurrency, but these were removed amid public debate.
- The implications for crypto holders in Argentina remain unclear, as purchasing crypto is not taxed but selling large profits is.
- The controversial reform bill aims for economic growth but has faced criticism for threatening rights and services; Milei is making concessions as the fate of the bill remains uncertain.
The administration of Argentine President Javier Milei has removed proposed cryptocurrency taxes from a controversial reform package. This strategic legislative pivot comes amid heated public debate over the wide-ranging omnibus bill.
Cryptocurrency Taxation Gets the Axe
Initially, the sweeping Ley Ómnibus reform bill included provisions requiring taxpayers to declare previously undeclared assets, including cryptocurrencies. However, Minister of Interior Guillermo Francos said the need for economic development took priority over taxation.
The implications for crypto holders remain unclear. Purchasing cryptocurrency does not incur tax, but selling large profits does. For investors, this shift brings some relief but also uncertainty about crypto regulation.
Milei’s Controversial Reform Agenda
The goal of the Ley Ómnibus is to introduce reforms for economic growth and freedom. However, the bill’s broad scope and radical proposals have generated significant criticism.
Critics argue the bill threatens human rights and democratic institutions. They say it seeks to dismantle essential services and procedures. The punitive stance on protests also raises authoritarian concerns.
With opposition in Congress, Milei aims to make concessions on controversial aspects. Lawmakers have until February 15 to decide the fate of the reform package.
Conclusion
The removal of crypto taxes from Milei’s omnibus bill reveals a delicate political strategy. While alleviating short-term concerns, the pivot highlights the precarious and evolving nature of cryptocurrency policy in Argentina.
