President Bukele of El Salvador innovation and technology manufacturing incentives law.
and Tweet Posted on May 4, President Bukele said the law would remove all taxes on innovation, including software programming and hardware manufacturing.
“[It] Eliminate all taxes (income, property, capital gains and import duties) on innovation, software and app programming, AI, computer and telecommunications hardware manufacturing.“
Bukele removes tax
Details of the law were first published in March 24th – When President Bukele said he would pass a bill to Congress to eliminate the tax on innovation.
There was no update on the situation until May 4, as the law passed.
The term “technological innovation” is assumed to include Bitcoin. This means El Salvador is fulfilling its promise to attract bitcoiners and tech companies to the country.
In an interview last year, Max Kaiser explained that El Salvador intends to become the Singapore of Latin America.He said the country has created an adaptive immigration program to attract digital nomads, innovators and investors. I got
Tax incentives under the newly signed law suggest the administration is serious about gaining financial hub status.
America is going in the opposite direction
Meanwhile, under the guidance of the Council of Economic Advisers (CEA), the US government has proposed a Digital Asset Mining Energy (DAME) tax.
The agency said a 30% tax on cryptocurrency miners is required to limit environmental and social damage caused by cryptocurrency miners.
“Cryptominers’ high energy consumption negatively impacts the environment, quality of life, and power grids these companies are located across the country.”
Dennis Porter, CEO of the Satoshi Action Fund, lashed out at the proposal, saying that if passed, DAME would push innovation into more friendly jurisdictions, resulting in increased U.S. jobs and economic growth. said to be lost.
An article about President Bukele removing all taxes on technological innovation first appeared on CryptoSlate.