Nevada May Become The First State To Ban Blockchain Taxes By Local Govt.

Legislators in Nevada unanimously passed a bill to block the taxation of blockchain use in both the Senate and House of Representatives.

The legislation was introduced by Senator Ben Kieckhefer, andis awaiting Governor Brian Sandoval's signature. to make it law.

The bill would prohibit local jurisdictions from taxing blockchain use.

"A local governmental entity shall not: (a) Impose any tax or fee on the use of a blockchain or smart contract by any person or entity; (b) Require any person or entity to obtain from the local governmental entity any certificate, license or permit to use a blockchain or smart contract; or (c) Impose any other requirement relating to the use of a blockchain or smart contract by any person or entity."

The bill also ensures blockchain-based records can be introduced and utilized during "proceedings", stipulating that "if a law requires a record to be in writing, submission of a blockchain which electronically contains the record satisfies the law".

Although the tax prohibitions are unique to Nevada, the second part, making blockchain data admissible in court, is similar to proposals in Arizona and Vermont.