Beginning March 27, 2019, the town of Innisfil in Ontario, Canada, will be accepting Bitcoin as payment for property taxes. This is part of a pilot program that will enable townsfolk to use cryptocurrencies as a form of payment for their taxes.
Innisfil has partnered with Coinberry Pay, a cryptocurrency payment processing tool, to allow residents to pay property taxes using Bitcoin. Residents can use Coinberry Pay to convert their Bitcoin balance to local currency and send tax payments to the Innisfil local government. Soon, Coinberry Pay will be able to support other cryptocurrencies including Litecoin, Bitcoin Cash, Ethereum and Ripple.
Mayor Lynn Dollin of Innisfil mentioned in a report that the new payment method shows that the town considers innovation. However, the Ontario town is not the first to allow residents to pay taxes using Bitcoin.
In the state of Ohio in the United States, business owners were allowed to pay their taxes using cryptocurrency through an online payment system set up by the treasury office. The goal of this innovative system was for firms to settle their taxes quickly, although it was reported that only two businesses paid using Bitcoin.
Meanwhile, the Canada Revenue Agency or CRA has audited investors in cryptocurrencies earlier this year. The CRA requested investors to clarify their crypto investments including acquisition of such assets, the use of cryptocurrency services and their sources.