Is it necessary to pay taxes on income from cryptocurrency mining?

Cryptocurrency mining is considered a method of generating economic benefit; therefore, income derived from mining is subject to taxation. This is explicitly stated in the clarifications issued by the Federal Tax Service of Russia. If mining is conducted by an individual, the income received is subject to personal income tax (PIT) at a rate of 13% (or 15% if a certain income threshold is exceeded). The taxpayer must independently file a Form 3-NDFL tax declaration and pay the tax. If mining is carried out on a regular basis and constitutes entrepreneurial activity, the individual may be required to register as an individual entrepreneur. Legal entities engaged in mining recognize the income as part of their profit, paying tax at a rate of 20% (or according to the applicable tax regime). It is also important to consider expenses related to electricity and equipment, which may reduce the tax base if supported by documentary evidence.