Crypto-asset binding rulings re-released

The previous binding rulings on the topic of salary, wages and bonuses paid in crypto-assets (BR Pub 19/01 & BR Pub 19/02) have been replaced via the issue of BR Pub 21/01: Income tax — salary and wages paid in crypto-assets, and BR Pub 21/02: Income tax — bonuses paid in crypto-assets.

The conclusions reached previously in the earlier rulings remain unchanged in the latest versions, with the exception of inconsistencies with the Wages Protection Act 1983 and the Minimum Wage Act 1983 that had arisen which have now been remedied in the latest versions.

The income tax treatment of crypto-assets payments of this nature, is that they are PAYE income payments in accordance with section RD 3 of the Income Tax Act 2007, and consequently subject to the PAYE rules.

BR Pub 19/01 and BR Pub 19/02 are being withdrawn on 28 February 2021. Again, you can source copies of the new Rulings directly from IR’s website.