In a new measure, Georgia lawmakers explore exempting cryptocurrency miners from paying taxes

As part of a deal with Bitmain, ISW Holdings, and Bit5iv, a new measure the state expects to have 56,000 Bitmain miners operational by October.

A measure has been presented in the Georgia House of Representatives that would exclude local crypto miners from charging sales and use tax.

Members Don Parsons, Todd Jones, Katie Dempsey, Heath Clark, and Kase Carpenter of Georgia submitted HB 1342, an unnamed measure, on Monday. The bill would change the state tax code “to exempt the sale or use of energy used in the business mining of digital assets,” and would likely only apply to corporate miners with a facility of at least 75,000 square feet, or 6,968 square meters.

The bill is the most recent in a string of state-level initiatives aimed at encouraging crypto miners to set up shop. Illinois senators sponsored a measure in January that would extend tax breaks to crypto mining data centers. In March 2021, Kentucky introduced similar legislation.

For crypto companies aiming to grow their operations in the United States and worldwide, electricity prices remain a big consideration. Bitfarms, a Canadian Bitcoin mining startup, said in November that it will develop its first data center in Washington State, citing the state’s “cost-effective power” and production rates as reasons. Following China’s mining crackdown, Texas has attracted a lot of companies, thanks to the state’s deregulated power infrastructure and renewable energy sources.

Related: Check out more news about Bitcoin

As part of an agreement with the mining companies ISW Holdings and Bit5iv, Georgia is anticipated to have 56,000 Bitmain miners working in the state by October. Furthermore, in March 2021, the state legislature enacted a measure requiring education authorities to develop a high school study curriculum centered on financial literacy, which incorporates cryptocurrencies.

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