Lawmakers in the Arizona State Senate are considering a bill aimed at having voters decide whether virtual currency should be exempt from property taxation.
In legislation introduced in the first session of the Arizona State Senate in 2023, Senators Wendy Rogers, Sonny Borrelli, and Justine Wadsack proposed having Arizona residents decide on amending the state’s constitution in regard to property taxes.
Should the measure pass the legislature, voters could choose in November 2024 to make virtual currency, specifically tokens that are not “a representation of the United States dollar or a foreign currency” tax-exempt.
The bill, SCR 1007, went through two readings as part of the state Senate’s calendar, on January 19 and January 23.
Lawmakers in previous sessions have attempted to move forward on legislation related to crypto and taxes, such as a 2018 bill allowing residents to submit tax payments in crypto, before then-Governor Doug Ducey vetoed the bill.
However, the proposed legislation would face a different political climate than that of 2018 or even 2022, with Rogers, Borrelli, and Wadsack all Republicans who have either denied or questioned the fair and legitimate election of some state and federal lawmakers.
Democrat Katie Hobbs narrowly defeated Republican Kari Lake to become the governor of Arizona in the 2022 midterm elections.
It remains to be seen how this proposed bill will fare in the current political climate and if it will pass the legislature to be put to a vote in November 2024.