Zug is at the heart of the so-called Swiss crypto valley, so this announcement does not come as a surprise.
Bitcoin Suisse is a pioneer in the Swiss Crypto Valley and will support the canton in collecting cryptocurrencies.
The Canton Zug will therefore be the first canton in Switzerland where taxes can also be paid with cryptocurrencies. The new method of payment will be accepted by the cantonal administration from February 2021, and will be available for both companies and private individuals up to a maximum amount of CHF 100,000.
However, partial payments will not be accepted.
A pilot project to test all processes will take place in the coming weeks, after which those who wish to pay a tax invoice with cryptocurrencies should contact the cantonal tax office, which will provide the QR code required for payment, usually via e-mail.
This area of Switzerland is home to many companies in the crypto sector, including Bitcoin Suisse itself, a crypto-financial services company founded in 2013 which helped to create the cryptographic and blockchain ecosystem in Switzerland, and which will act as the canton’s regulated financial intermediary.
The CEO of Bitcoin Suisse, Dr. Arthur Vayloyan, said:
“The combination of trading technology and payment transactions with crypto-currencies enables us to provide a good user experience for the taxpayer and to offer a proven service to the Canton of Zug”.
The Chief Financial Officer of the canton, Heinz Tännler, added:
“We do not take any risk with this new payment method, as we always receive the amount in Swiss Francs, even if payment is made in Bitcoin or Ether.
As the home of the Crypto Valley, it is important to us to further promote and simplify the use of crypto currencies in everyday life. By enabling the payment of taxes with Bitcoin or Ether, we are taking a big step in this direction”.