Estimated reading time: two minutes
This Tuesday (11), the City of Rio de Janeiro published a decree in the Official Gazette of the Municipality authorizing the accreditation of companies that will use cryptocurrencies to carry out payment operations for the Urban Property and Territorial Tax (IPTU) 2023.
Thus, according to the municipal administration, Rio is the first municipality in Brazil to provide taxpayers with this means of paying a tax, in which various digital currencies can be used.
In this way, the city will hire companies specialized in converting crypto assets into reais. With this, the municipality will receive 100% of the value in local currency, without any additional cost to the capital.
According to Eduardo Paes, mayor of Rio, the action puts the city at the forefront of the crypto market by boosting the circulation of these coins in the economy.
“Rio de Janeiro is a global city. Therefore, we are following the technological and economic advances in the universe of digital financial assets. We look to the future and we want to help it become the country’s capital of innovation and technology. And we’re already ahead. We are the first city in Brazil to offer this type of payment to the taxpayer,” he declared.
Also according to the decree, companies that wish to offer this type of payment to their customers must be accredited with the municipality, have a CNPJ, keep their customer registration updated as determined by the Central Bank for financial institutions and have a provision contract service with one of the city’s collection banks.
Therefore, to analyze how cryptocurrencies are being used, the city will monitor payment information through a daily report.
The Secretary of Finance and Planning, Andrea Senko, said that, in principle, the use of cryptocurrencies as a form of payment will only be for IPTU. However, the idea is to expand to other taxes. “We want to assess how the city will behave with this new payment method so that we can include it in other taxes in the future”, she highlighted.