It looks like Portugal’s status as a “tax haven” for cryptocurrency holders is about to change as the country’s authorities are considering imposing a tax on income received from investments in digital assets.
how informs local publication ECO, the corresponding proposal was made by Secretary of State for Taxes Antonio Mendonca Mendes (Antonio Mendonca Mendes). According to the official, now the Portuguese authorities are considering the taxation of digital currencies in other countries. After studying the issue, the tax department will form recommendations on the taxation of cryptocurrencies.
“Some countries already have such a tax system. Some are only working on this issue, and we also need to work out our system,” Mendes said.
Currently, digital assets in Portugal are treated as a currency, not property, so individuals do not need to pay tax on investments in digital assets. Only companies that provide access to cryptocurrency services should pay the tax. Many cryptocurrency traders and investors live in Portugal to avoid being taxed on their income.
It is not yet clear when exactly the taxation of cryptocurrencies in Portugal will be introduced. However, as consider some Twitter users, the bill will take at least two years to develop. Previously, the Australian Taxation Office (ATO) required citizens of the country to indicate in their tax reports the profit or loss from operations with digital assets.
Source: Bits
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