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Portugal working on new crypto tax legislation to levy 28% capital gains tax
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简介An official report released by the Portuguese government shows that the country is working on a new ...
An official report released by the Portuguese government shows that the country is working on a new cryptocurrency tax legislation scheduled for enacting in 2023.
The new legislation intends to levy a 28% capital gains tax on crypto profits, a 4%, and stamp duties on any free cryptocurrency transactions.
28% capital gains tax
If the proposed crypto legislation sees the light of day, the Portuguese government will levy a 28% capital gains tax on crypto profits made within a year. However, gains made for holding cryptocurrency assets for a year will not be subjected to the capital gains tax.
According to the 450-page report, gains made from crypto issuing and crypto mining would be subject to the capital gains tax.
4% tax on crypto transactions
In addition to the capital gains tax, the Portuguese government also seeks to introduce a 4% tax and if necessary stamp duties on free crypto transactions.
The idea is to provide a flawless framework for crypto taxes and treat the industry equally with other businesses within the country.
Portuguese parliament stand on cryptocurrencies
In May this year, the Portuguese finance minister said that the country was preparing to start taxing cryptocurrencies, stating that work would begin on working on the legal framework.
The minister had however declined to provide the legal timeframe at the time.
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