Ohio Lawmakers Introduce Bill to Exempt Crypto Transactions from State Taxes

Ohio lawmakers have introduced a bill to exempt cryptocurrency transactions from state taxes for payments of goods and services. This could position Ohio as a leading crypto-friendly state in the US.

Key Points of Ohio House Bill 116

• Classifies cryptocurrencies as “digital assets” on par with fiat currencies.
• Standard taxes, such as state and sales taxes, remain applicable; no additional taxes will be imposed on crypto payments.
• Prohibits enacting any fees or taxes on digital assets used for payment.
• Mandates state retirement funds to evaluate risks and benefits of investing in a crypto ETF within one year.
• Allows businesses to choose whether to accept cryptocurrencies, similar to El Salvador’s recent amendments regarding Bitcoin.
• Empowers crypto traders to self-custody their assets and participate in staking without centralized interference.
• Existing laws support mining and exchange activities for crypto companies without requiring a money transmission license.
• Residential mining is permitted under local zoning rules, but large-scale operations must be in industrial zones.