Russian State Duma Passes First Reading of Cryptocurrency Tax Reform Bill

June 10 – Russia’s State Duma has passed a government-proposed cryptocurrency tax reform bill in its first reading, designed to clarify tax rules for digital assets. Under the draft, taxable gains from crypto transactions are calculated as the positive difference between income and associated costs, letting investors offset gains and losses from both digital currencies and overseas digital rights assets within the same tax period. The legislation mandates brokers and fiduciary firms to meet personal income tax withholding requirements for crypto and overseas digital rights transactions, plus retain transaction records for a minimum of five years. For corporate entities, income and expenses tied to digital assets in foreign trade will count toward corporate income tax (excluding crypto mining operations), while overseas digital rights assets are classified as cryptocurrency for tax purposes. Meanwhile, the State Duma’s Budget and Taxation Committee is drafting revisions for the bill’s second reading, proposing that licensed crypto exchanges serve as tax agents to directly withhold personal income tax when users trade digital assets. If enacted, the final law will significantly strengthen Russia’s regulatory framework for digital asset taxation.