Citizens living in the city of Zermatt can now pay their taxes in Bitcoin according to a new report from Bitcoin Suisse.
This is possible thanks to a partnership between Bitcoin Suisse and the governing body that represents Zermatt and is effective immediately. It is now the second Swiss city to allow governmental payments in the leading cryptocurrency, with the first being Zug back in 2016.
Citizens can pay their taxes via a “point-of-sale device” in the Zermatt town hall, or via an online payment terminal. Bitcoin Suisse then converts the crypto into the local currency, Swiss francs.
“By accepting Bitcoin as a means of payment, Zermatt finds itself once more among the pioneers and supporting a growing ecosystem of cryptocurrencies,” says Armin Schmid, the Head of Crypto Payments at Bitcoin Suisse.
There aren’t many areas around the world that accept cryptocurrency for governmental services. In late 2018, the state of Ohio became the first state to allow businesses to pay taxes in the cryptocurrency. However, the ability to do so might take a while to spread, considering the IRS is yet to establish a framework for regulating these assets. Recently, members of Congress sent a letter to the IRS to address this very issue, citing a complete lack of clarity in the current solution.