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Ohio Suspends Bitcoin Tax Payments

by Rob Boxley, Chicago, October 2019

 

Ohio businesses can no longer pay taxes with bitcoins. A website launched last year allowing companies to pay a range of taxes with bitcoin has been taken offline.

 

Ohio Treasurer Robert Sprague announced the decision to immediately suspend OhioCrypto.com at a meeting of the State Board of Deposit, according to an official announcement.

 

The reason for pulling the service is based on how Ohio’s third-party crypto payments provider, BitPay, is defined under state law, Sprague said.

 

The State Board of Deposit has asked the Ohio Attorney General to further research the legalities of how the crypto portal was set up and whether BitPay — the third-party processor that powered the service — constituted a “financial transaction device.” If so, the firm should have been selected under a competitive selection process codified in state law.

 

“Until a formal opinion is issued by the Attorney General, I feel it is prudent to suspend the website,” said Sprague, adding that fewer than 10 companies were paying taxes via the site.