Italy Approves New Tax on Cryptocurrency Gains
2023.01.02 13:00
Italy Approves New Tax on Cryptocurrency Gains
Budrigannews.com – A 26% tax on capital gains on crypto-asset trading over 2,000 euros (approximately $2,13 at the time of publication) was included in Italy’s Senate’s budget for 2023, which was approved on December 29, 2022, days before the end of the year.
“A digital representation of value or rights that can be transferred and stored electronically, using distributed ledger technology or similar technology,” is how the approved legislation defines crypto assets. In the past, the country taxed crypto assets lower because they were treated like foreign currencies.
Reported that the bill also stipulates that as of January 1, taxpayers will be able to choose to declare the value of their digital asset holdings and pay a tax of 14%. These incentives are meant to encourage Italians to declare their digital assets.
The budget law also included tax amnesties to lessen the penalties for late tax payments, fiscal incentives for job creation, and a lower retirement age. Tax breaks worth 21 billion euros (or $22.4 billion) are also included for households and businesses dealing with the energy crisis.
Even though Giorgia Meloni, the first woman to lead Italy, promised significant tax cuts when she was elected in September, the legislative body gave her bill a lot of support.
According to reports in the local media, the government of Italy has taken measures to cut down on gas consumption throughout the country. These measures include going over 15 days without central heating for buildings. During the winter, the population is being asked to turn down their heating one degree and turn it off one hour more per day.
The Markets in Crypto Assets (MiCA) bill, which established a consistent regulatory framework for cryptocurrency across the 27 European Union member states on October 10, was followed by Italy’s legislation. In 2024, MiCA is expected to take effect.
More FTX repeated mistakes of bankrupt Alameda Research crypto exchange
