Brazil considers taxing cryptocurrency transactions to offset the impact of the financial transaction tax increase

Brazil is considering taxing cryptocurrency transactions to mitigate the impact of the increase in the Financial Transactions Tax (IOF) on a broader population. The Speaker of the Brazilian House of Representatives, Hugo Motta, proposed this idea before meeting with Finance Minister Fernando Haddad and Senate President Davi Alcolumbre. Motta expressed opposition to the tax increase, stating that the Brazilian public cannot bear another tax hike, but supported the idea of extending this tax to cryptocurrency transactions. Legal experts point out that only laws approved by Congress can change the definition of taxable events to include new asset classes in the tax scope.