The OECD released a report titled Taxing Virtual Currencies: An Overview of Tax Treatments and Emerging Tax Policy Issues on October 12. The report, which was prepared and endorsed by the 137 members of the OECD’s Inclusive Framework on Base Erosion and Profits Shifting, provides a comprehensive analysis of the approaches and policy gaps across the main types of taxes (i.e., income, consumption, and property taxes).
The report addresses the following areas, across more than 50 jurisdictions (based on responses to questionnaires supplemented with publicly available materials):
- The characterization and legality of virtual currencies;
- The income tax consequences across the different stages of a virtual currency’s lifecycle, from creation to disposal;
- The consumption and property tax treatment of virtual currencies;
- Common tax policy challenges and emerging issues; and
- Considerations for policymakers.