Gold Coast Mayor: Australians Should Be Able To Pay Taxes In Crypto

Tom Tate, the Mayor of Gold Coast, suggested that Australians should be able pay their council rates (local property taxes) in cryptocurrency.

Mayor Tate said:

“Why can’t we pay rates on cryptocurrency if the risk is not high?”

According to Tate, the council will recruit a chief investment officer whose job will be to promote “innovation,” and looking into “joint ventures” involving the council’s land.

Local news reported that Mayor Tate sees crypto payments as a way to communicate Australia’s innovative virtue, and attracting young people. Talking about the volatility in the crypto market, Tate said it’s “not that bad.”

According to Blockchain Australia chairman, Adam Poulton, payments could either halve or multiply depending on prevailing market conditions.

Poulton is not completely against crypto payments, but advises the Australian government to consider a 95:5 payment ratio, where cryptocurrency represents the smaller take.

Associate Professor Vallipuram Muthukkumarasamy of Griffith University, said that while the council was open to such developments, crypto remains “speculative.” He proposed further research and education in the “new technology,” saying crypto tax payments require “confidence building.”

Paying taxes in crypto has become a trending topic among pro-crypto politicians in various jurisdictions.

Mayor Horacio Rodríguez Larreta of Buenos Aires, Argentina, suggested the same approach in late April. In late March, Rio de Janeiro announced a similar plan, aiming to become the first Brazilian city to accept Bitcoin payments for taxes.

In the US, the state of Colorado plans to take crypto for tax payments starting summer this year. Florida is considering a similar scheme, while the transcontinental country of Panama already approved it in April.

However, in light of the recent crypto crash, volatility, and the industry’s rampant scams, financial experts advise approaching such a matter with caution.