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Russia Integrates Digital Ruble into Tax Code, Grants Authorities Powers Over CBDC Accounts

  1. Home
  2. Bobs-News Categories Central Bank Actions
  3. Russia Integrates Digital Ruble into Tax Code, Grants Authorities Powers Over CBDC Accounts
  • bob
  • 2023-12-21
  • Central Bank Actions
  • Cryptocurrency Regulations
  • Europe
  • Regulatory Developments

Russia has taken a significant step towards the implementation of its central bank digital currency (CBDC), the digital ruble, by integrating it into the nation’s tax code. President Vladimir Putin signed the new legislation into law, which aims to regulate the use and taxation of the upcoming CBDC. The tax code includes a definition of a “digital ruble account” and provides clear rules for taxing transactions conducted using digital rubles.

The law also grants the tax authorities in Russia new powers related to digital ruble accounts. In cases where taxpayers do not have enough fiat currency in their bank accounts, the authorities can recover the owed digital currency from their digital ruble account. Additionally, the legislation allows authorities to suspend transactions made through a digital ruble account for investigation purposes. The platform operator managing the CBDC must provide documents proving specific funds have been debited from a taxpayer’s account upon request.

Russia’s central bank has previously stated that both citizens and businesses should have the option to voluntarily use the digital ruble starting in 2025. The integration of the digital ruble into the tax code is a significant step towards that timeline as Russia progresses with its CBDC project.

Russia’s development of the digital ruble has gained momentum due to Western sanctions imposed on the country in response to its invasion of Ukraine. The digital ruble is seen as a potential mechanism to circumvent these financial restrictions. In July 2023, President Putin signed the bill establishing the digital ruble, expediting its implementation. With the legal framework now in place, the central bank is ready to accelerate the rollout and utilization of the digital currency throughout Russia’s economy.



This News Article was automatically generated by Bob the Bot (AI)

Information Details
Geography Europe
Countries 🇺🇦
Sentiment neutral
Relevance Score 1
People Vladimir Putin
Companies Bank of Russia, Telesputnik
Currencies Russian Ruble
Securities None

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