Ohio Senator Proposes Bill for Crypto Tax Payments

On September 30, Ohio State Senator Niraj Antani introduced a bill to permit taxpayers to settle their taxes using Bitcoin (BTC) and other cryptocurrencies.

TODAY: I introduced a bill the legalize the use of cryptocurrency to pay state and local taxes and fees. Cryptocurrency is not just the future — it’s the present. I’m proud to be the most pro-cryptocurrency Member of the Ohio Senate. READ: pic.twitter.com/9lpYdkoGWT

— Niraj Antani (@NirajAntani) September 30, 2024

The proposed legislation would require state and local governments to recognize digital assets as an acceptable method of tax payment.

“Cryptocurrency is not just the future, but it’s the present of our 21st-century economy. If we want to encourage innovation and free enterprise in Ohio, we should do everything we can to normalize the use of cryptocurrencies,” Antani stated, advocating for broader adoption.

Ohio Revives Crypto Tax Payment Initiative

The proposal marks Ohio’s second attempt at incorporating Bitcoin as a tax payment option.

In 2018, the state became the first in the U.S. to accept cryptocurrencies for taxes under the leadership of then-State Treasurer Josh Mandel. However, the initiative was suspended a year later due to legal challenges.

In November 2019, Ohio ceased accepting cryptocurrencies for tax payments after the state attorney general advised that formal approval from the State Board of Deposits was required to continue the program.

Antani’s newly proposed bill seeks to address these legal hurdles by legislating the acceptance of cryptocurrencies for tax payments, thus making it fully legal for taxpayers to use digital assets for state taxes and other fees. Moreover, the bill would authorize state entities such as pension funds and universities to invest in cryptocurrencies.

The bill will be deliberated by the General Assembly of the State of Ohio.

SEC Tightens Crypto Enforcement Measures

The move comes amid a heightened national debate over cryptocurrency regulations. With the United States Securities and Exchange Commission (SEC) adopting a more stringent enforcement approach, the topic has drawn increasing scrutiny from lawmakers. 

Cryptocurrency regulation has become a central issue, especially as policymakers seek to balance oversight with fostering innovation in the industry. During recent Congressional hearings, SEC Chair Gary Gensler faced criticism for allegedly stifling innovation in the sector. 

Minnesota Republican Majority Whip Tom Emmer pressed Gensler on the agency’s handling of a case involving crypto startup DEBT Box, questioning the SEC’s approach and impact on the broader industry.