Horacio Larreta, the head of government of Buenos Aires, the capital of Argentina, confirmed that the city will allow its citizens to pay some taxes using cryptocurrencies. This is part of a digitization plan the city has dubbed “Buenos Aires+” which aims to simplify the city’s relationship with citizens.
Buenos Aires Government Introduces Cryptocurrency Tax Payments
The government of Buenos Aires, the capital of Argentina, plans to allow its citizens to pay some taxes using cryptocurrencies. According to local media, the announcement was made by Horacio Rodriguez Larreta – the head of government of Buenos Aires – on a recent Zoom call. This initiative is part of a digitization push the city is planning to expand citizens’ access to documents and government services.
This plan, dubbed “Buenos Aires+,” aims to “simplify and streamline connections with citizens and the city,” according to Larreta. On the importance of blockchain for this digitization push (which aims to automate 70% of the formalities in the first year of implementation), Diego Fernández, Secretary for Innovation and Digital Transformation, explained:
I believe that blockchain technology will give government the ability to make all their actions more transparent and encourage citizen participation in deeper ways.
This proposal is similar to the one put forward by the Rio de Janeiro government in March, which also announced it would start accepting cryptocurrencies as payment for some types of taxes starting next year.
Digital identification project
One of the key projects the city hopes to complete is the implementation of a digital ID system that would allow citizens to simplify document requests and payments to the city. The system also strives to be interoperable, meaning that multiple government organizations can interact with it in different ways. This could also supposedly help streamline time-consuming errands between different agencies and allow the citizen to do all their tasks in the same system.
Other public organizations could connect their systems to this hub and thus also use the data directly. On this idea, Fernandez explained:
People will be in control of their information. We’re building a platform so they know who’s requesting their data and what they’re looking at. Each of these orders is placed in an open blockchain-based system.
Fernandez concluded by stating that his team intends to implement these data management use cases by 2023.
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