Terra Luna Classic Community Approves Tax Proposal

The Terra Luna Classic community has recently sanctioned a new tax management initiative designed to streamline the tax regulations within the Terra Classic network. This “Reverse Charge” mechanism reshapes the tax deduction process, making it more approachable for both developers and users.

What Changes Does the New Proposal Bring?

The newly implemented Reverse Charge mechanism allows for taxes to be deducted from the transaction total before being sent to the recipient’s wallet. This modification brings simplicity for developers and users since senders will no longer need to handle additional tax payments.

How Does This Impact Smart Contracts?

A notable advantage of this Reverse Charge system is the prevention of double taxation on smart contracts. Previously, these contracts faced taxation at both the sending and receiving phases, incurring extra financial burdens for users and developers alike.

The community’s new tax proposal coincides with ongoing efforts to diminish LUNC’s overall supply and enhance its market value through strategic token burn initiatives. Recently, Binance incinerated 1.048 billion LUNC tokens, with total burns approaching 137 billion as reported by the community.

• New tax management proposal simplifies transaction taxes.
• Reverse Charge eliminates double taxation for smart contracts.
• Recent token burns significantly reduce LUNC supply.
• Community anticipates further burns to stabilize the ecosystem.

The recent closure of the Shuttle Bridge has heightened expectations within the community regarding the future of LUNC. Community member Leonardo expressed optimism about adapting to these changes, noting that the closure may lead to more effective token burns, which in turn could stabilize and enhance the value of LUNC in the long run.