COLUMBUS, Ohio (WCMH) -- Cryptocurrency could be used as a form of payment for state and local taxes under a new bill proposed at the Ohio Statehouse.
Sen. Niraj Antani (R-Miamisburg) announced on Monday he has introduced a bill requiring Ohio's government entities to accept cryptocurrency "for the payment of any tax, fee, cost, charge, assessment, fine, or other payment of expense." Antani said cryptocurrencies like Bitcoin would be accepted, arguing the digital currency is "not just the future, but it's the present of our 21st century economy."
"If we want to encourage innovation and free enterprise in Ohio, we should do everything we can to normalize these use of cryptocurrencies," said Antani in a release. "By allowing Ohioans to pay their taxes and fees with cryptocurrency, we will be on the cutting edge."
The legislation, which would also allow state universities and pension funds to invest in cryptocurrencies, defines it as a "digital representation of value" with which "there is a reasonable expectation that it will maintain a stable value relative to a fixed amount of monetary value."
If signed into law, Ohio would be required to determine and publish a list of acceptable cryptocurrencies on or before June 30 of each year.
Ohio became one of the first states to consider accepting cryptocurrency for taxes in 2018, an initiative launched by then State Treasurer Josh Mandel. However, the former treasurer's advocacy didn't go far given the state board of deposits did not act on approving cryptocurrencies to be accepted for taxes.
Mandel continued advocating for cryptocurrency during his bid in 2022 to be the Republican nominee for Ohio's open senate seat, a race he ultimately lost to now Sen. J.D. Vance. During the primary, Mandel argued that cryptocurrency could aid in providing people with greater autonomy over their financial decisions.
"Mandel was a leader on cryptocurrency in 2018 and Ohioans have him to thank," said Antani. "This policy should have been acted on by the State Board of Deposits when it was deemed necessary. Since they have failed to act, the legislature will."
Colorado became the only state in the nation to accept cryptocurrency as a form of payment for taxes in 2022. Cryptocurrency payments are now made through the state's online payments system PayPal and come with a service fee of $1, plus 1.83% of the payment amount.
