The Iranian National Tax Administration (INTA) wants to develop a legal framework that will help accommodate crypto exchanges.
A new initiative by the tax agency aims to legalize crypto firms, monitor their transactions and charge tax levies accordingly.
INTA believes that “legalizing crypto exchanges is necessary” but insists that heavy “penalties and legal consequences” will be meted out to firms who fail to submit users’ details.
This comes after Iranian President Hassan Rouhani demanded that a legal framework be drafted for crypto trading.
The proposal by the tax regulator contains three tax regimes on crypto exchanges including the tax on capital gain, fixed base tax and occupational tax.
Cryptocurrency is not accepted as a legal means of payment (just yet) in Iran, but the country’s Vice President for Legal Affairs claims swapping cryptocurrencies is not illegal.