HB1388

Summary

Use of digital assets. Provides an income tax deduction for short term or long term capital gain that is attributable to the sale or exchange of digital assets in a transaction and that is included in federal adjusted gross income, in an amount not to exceed $200 per transaction for the 2024 taxable year, and adjusted annually for inflation each taxable year thereafter. Provides that a county or municipality may not: (1) impose a tax that is assessed based on use of a digital asset as payment in a transaction; or (2) impose a tax on transactions at a different rate based on the use of a digital asset for payment in the transaction. Prohibits the Indiana utility regulatory commission (commission) from approving a rate schedule for electricity supplied by an electricity supplier to digital asset mining businesses that is unreasonable or unjustly discriminatory as compared to the rate schedule approved by the commission for electricity supplied by the electricity supplier to industrial customers. Provides that a person is not required to be licensed as a securities broker-dealer solely because the person provides, or offers to provide, specified services with respect to transactions involving digital assets. Provides that specified operations conducted with respect to maintenance of a blockchain do not constitute money transmission for purposes of statutes regarding licensure of money transmitters. Provides immunity from civil liability for a person that performs specified actions with respect to validation of a transaction on a blockchain network. Prohibits a county, municipality, or township from adopting or enforcing an ordinance that would have the effect of prohibiting, restricting, or impairing an individual's ability to: (1) use digital assets to purchase legal goods and services; or (2) use a hardware wallet or self-hosted wallet to store the individual's digital assets. Provides that use of a property for digital asset mining is a permitted industrial use under any applicable zoning ordinance of a unit and may not be disallowed by a zoning ordinance in a zoning district that permits industrial use. Prohibits a unit from applying the unit's zoning ordinances in specified ways to regulate digital asset mining. Makes conforming amendments and technical corrections.

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