The Department of Federal Revenue (RFB) – in charge of handling tax-related matters for Brazil – reportedly rolled out new tax code, clarifying the amounts taxpayers required to pay, when unable to declare their Bitcoin (BTC) and crypto transactions.
Specifically, the new crypto tax code is the next step, following initially established provisions from RFB in August this year, under which Brazil citizens have a duty to report every crypto-related transactions, in accordance with laws authorized by Normative Instruction 1,888 rolled out in May this year.
The tax code is widely effective to individuals, firms, and brokerages, covering every activity surrounding digital coins, nominally buying and selling, donations, barters, deposits, withdrawals and others.
Any individual that does not fulfill their part in submitting documents for their crypto transactions will receive fines, with the value falls between 500 Brazil reals (BRD) to 1500 BRD, or from $120 to $360.
Previously in August this year, the current number of investors doing business in the Brazilian crypto market has surpassed the second-oldest stock exchange in the country – B3 – which facilitates approximately 800,000 clients at the time.