The President of El Salvador, Nayib Bukele, has just signed the law to remove all taxes related to technological innovation, including for blockchain companies. This measure aims to strengthen the country’s position as a destination for new businesses while attracting investment in the technology sector and creating local jobs.
https://cryptoast.fr/feed/
El Salvador opens up to technological innovation
On March 24, the President of El Salvador Nayib Bukele had publicly announced his intention to abolish all taxes relating to technological innovation. Well, the latter has just officially signed this law, which therefore comes into force.
I’ve just signed into law, the INNOVATION AND TECHNOLOGY MANUFACTURING INCENTIVES ACT, that eliminates all taxes (income, property, capital gains and import tariffs) on technology innovations, software and app programming, AI, computer and communications hardware manufacturing. pic.twitter.com/rZtGzPgVzW
— Nayib Bukele (@nayibbukele) May 4, 2023
As indicated in the Salvadoran president’s tweet, the law should cover, among others, companies operating in the sectors of programming, artificial intelligence (AI), as well as the manufacture of computer and communication equipment.
The abolition of taxes on income, property, capital gains and import duties should consolidate El Salvador’s place as a favorable host country for new businesses. On this occasion, Salvadoran Economy Minister María Luisa Hayem said: El Salvador is ready to attract new investments in the technological sector and thus generate more jobs for our population “.
Note that this law will also concern companies operating in the blockchain sector. A point that does not come as a surprise, El Salvador being the first country in the world to have adopted Bitcoin (BTC) as legal tender in its territory, in particular in order to promote financial inclusion and promote the economic growth of the country.
Recently, El Salvador made Bitfinex the first crypto company to obtain a digital asset service provider license through a local branch. The latter has thus become the first to tokenize stocks and bonds – apart from other digital investment products – on Salvadoran soil.
👉 In The News – Argentina: Payment service providers banned from facilitating the purchase of cryptocurrencies
Buy crypto on eToro in minutes
Newsletter 🍞
Receive a summary of crypto news every Monday by email 👌
What you need to know about affiliate links. This page presents assets, products or services relating to investments. Some links in this article are affiliated. This means that if you buy a product or register on a site from this article, our partner pays us a commission. This allows us to continue to offer you original and useful content. There is no impact on you and you can even get a bonus by using our links.
Investments in cryptocurrencies are risky. Cryptoast is not responsible for the quality of the products or services presented on this page and could not be held responsible, directly or indirectly, for any damage or loss caused following the use of a good or service highlighted in this article. Investments related to crypto-assets are risky by nature, readers should do their own research before taking any action and only invest within the limits of their financial capabilities. This article does not constitute investment advice.
AMF recommendations. There is no guaranteed high return, a product with high return potential involves high risk. This risk-taking must be in line with your project, your investment horizon and your ability to lose part of this savings. Do not invest if you are not ready to lose all or part of your capital.
To go further, read our Financial Situation, Media Transparency and Legal Notices pages.
Passionate about the world of decentralized finance and the novelties brought by Web 3.0, I write articles for Cryptoast to help make blockchain more accessible to everyone. Convinced that cryptocurrencies will change the future very soon.
Maximilien Prue
704 items
