Ohio becomes first state to accept bitcoin for business tax payments

Ohio on Monday became the first U.S. state to begin accepting bitcoin as a payment option for a range of business taxes, the Cincinnati Enquirer reported.

Employers in the state can now use the cryptocurrency to pay for as many as 23 business taxes, according to the newspaper. Using bitcoin will come with a 1 percent fee, which is less than the 2.5 percent fee when businesses pay with credit cards, the Enquirer reported.

{mosads}Bitcoin is the only form of cryptocurrency that the state is accepting at this time, and the option is limited to businesses. Individuals are not permitted to use bitcoin to pay their taxes.

Outgoing Ohio Treasurer Josh Mandel told the Enquirer that he expects the option could attract new businesses to the state.

“It’s important for Ohio to plant the flag as a national leader in blockchain technology,” Mandel said.

One bitcoin is worth about $4,000, according to CNBC. That’s down significantly from its high of nearly $20,000 last year, a surge that may have been the result of a manipulation campaign.