The Inland Revenue Authority of Singapore is proposing to end the Goods and Services Tax that is imposed on cryptocurrencies.
Under the existing rules, users of cryptocurrencies are taxed twice when they use them to pay for goods and services. This is because the IRAS treats such a transaction as a barter trade that results in two separate cases of supply – a supply of the digital payment token as well as the supply of the services and goods paid for using the digital asset.
Consequently, the IRAS is now seeking feedback with a view of making the proposed change starting January 1st 2020. Comments will be welcomed until July 26th.