African Tax Forum Publishes VAT Guide for Cryptocurrency

African countries should consider making it easier for foreign cryptocurrency exchanges to pay value-added tax to aid compliance, a technical note from the African Tax Administration Forum said.

The document, published Tuesday, is meant to help ATAF’s member countries in setting their rules by providing them with technical consideration.

• “It may be challenging to enforce compliance for foreign suppliers, however, making the filing requirements simple and easy will facilitate voluntary compliance,” the note said.
• Countries shouldn’t charge VAT on peer-to-peer cryptocurrency transfers where there isn’t an intermediary, the note said. But, if the cryptocurrency is exchanged into cash, then ...