Argentinians working in exports, or other industries, could avoid heavy taxes from foreign currency payments if a newly proposed law is passed.
José Luis Ramón, a member of the Argentine Chamber of Deputies from the lower house of the Argentine National Congress, has introduced a new bill that would allow certain workers in Argentina to receive some or all of their salary in crypto.
Argentina May Open the Doors to Crypto Adoption
According to his tweet on Tuesday, Ramón said this crypto bill would apply to anyone working as an “exporter of services” and those who depend on an employer for income. If the bill passes into law, many workers could choose to receive a full or partial salary in crypto or Argentine pesos.
“The idea is that (workers) can strengthen their autonomy and retain the purchasing power of their remuneration,” according to the lawmaker, “this initiative stems from the need to promote greater autonomy and governance of wages, without this implying a loss of rights or exposure to situations of abuse within the framework of the employment relationship.”
Before being sent to President Alberto Fernández for approval, the crypto bill must be passed by both the Argentine Chamber of Deputies and the Senate.
Some Work Remains Before Crypto Goes Big in Argentina
The Argentine National Congress passed Law 27,541 in December 2019, which established a 30% tax on foreign currency. However, Bitcoin (BTC) and other tokens may not fall within this legal framework.
The local news outlet La Nueva Mañana said workers who provide services abroad such as exporting would not necessarily need to convert their crypto income to Argentine pesos as they do with other foreign currencies.
As such, they may avoid the taxes from foreign currency payments.
Cryptocurrency Adoption Increases in Central and South American Countries
Recently, Central and South American countries are pushing for regulatory clarity or outright adoption of crypto which has seen the proposed bill come by lawmakers.
Last month, El Salvador passed a law making Bitcoin legal tender effected on Sept. 7.
Latin America has a long history of issues with inflation, and the adoption of cryptos on a wider scale may help ordinary people cope with difficult economic circumstances.
