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8 BEST Crypto-Friendly Cities in 2024 (Tax-FREE!!)Few states have addressed cryptocurrency in tax laws or other state tax guidance. AK Alaska � AZ Arizona � AR Arkansas � CA California � CO Colorado � CT. Arizona. No Guidance. Arizona does not address the sales and use tax treatment of virtual currency such as bitcoin. Arkansas. Nontaxable. In. Although commonly referred to as a sales tax, the Arizona transaction privilege tax (TPT) is actually a tax on a vendor for the privilege of doing business.
