Brazil’s President Approves Tax on Crypto Assets Held Abroad

Brazilian President Luis Inácio Lula da Silva has signed a law introducing taxes on crypto assets held abroad by Brazilian citizens. The law, set to come into force on January 1, 2024, will also apply to profits and dividends gained by Brazilian taxpayers from various investments abroad, including investment funds, platforms, real estate, or trusts. The Brazilian government aims to collect approximately 20 billion reals ($4 billion) in new taxes in 2024. Early adopters who start paying the taxes in 2023 will receive a lower levy of 8% on income made up to 2023, with the tax rate increasing to 15% from 2024. Earnings up to 6,000 Brazilian reais ($1,200) will be exempt from taxation. (Source: Cointelegraph)