The National Tax Administration of Iran (INTA) has recently announced new legal criteria for crypto exchange platforms to acquire practice licenses. Two months ago, President Hassan Rouhani asked the legislative assembly to make arrangements for making the transition. A local media outlet recently confirmed that INTA listed all the legal requirements for becoming an eligible applicant for crypto trading.
INTA also added that the crypto exchanges are not going to be able to convert fiat currency without authorization. The government regulators are also going to closely monitor all the financial activities that go on in the said markets. The Iranian regulator also announced to the exchange platforms that the presence of specified laws for the crypto industry is necessary for tax collection and imposition.
The most common form of taxes that are imposed on crypto traders includes capital gains, fixed base, and occupational taxes. The INTA, under the new regime, is planning to create proper legal infrastructure for the crypto investors in the region to impose these taxes successfully. For the time being, the outline of the new crypto regulations does not specify any tax implications for crypto-related businesses.
INTA has also paid attention to DEX or the Decentralized Exchange forums. The tax regulatory authority wants to ensure that all crypto traders comply with the anti-money laundering protocols. By sanctioning the DEX forums with a maximum transaction limit, all the huge transfers are going to be reported and noted by the federal authorities.
Iranian Parliament Aims to Regulate Crypto Mining Sector
The Iranian parliament is focused on the economic development sector has been working on the matter of crypto mining farms. A few months ago, most of the crypto mines were put under temporary exodus due to the shortage of electricity supply in the hot summertime. In Q1, the law enforcement agencies of Iran spent their time cracking down on illegally operating crypto miners.
Until September, no miners can commence their operation by the decree of the law. However, the traders are free to exchange one virtual currency for other. The citizen crypto traders are directed to use only the cryptocurrencies that are minted in Iran. No business entities are allowed to accept cryptocurrencies as payment for their products or services. Thus far, 7,000 illicit mining rigs have been shut down by the Iranian Police.