Arizona Bill Would Add Virtual Currency Losses to Taxable Income

Capital losses resulting from transactions involving foreign and virtual currencies—like crypto—would become part of Arizona’s gross taxable income under a recently introduced bill (SB 1092) in the state Senate.

State Senate President Warren Petersen (R) introduced a bill this week that aims to include any financial loss incurred through transactions involving foreign currency or virtual currency in in calculating gross taxable income. Currently, the law defines virtual currency as a “digital representation of value that functions as a medium of exchange, a unit of account, and a store of value, excluding the United States dollar or ...