Czech Republic Makes Crypto History: No Capital Gains Tax on Bitcoin After 3 Year

The Czech Republic has also legislated new exemption requirements on Bitcoin and other cryptocurrencies. However, it does not apply a tax on capital gains if such assets are kept for more than three years. The president of this country, Petr Pavel, signed this law to encourage long-term investment in cryptocurrencies, and is in line with other European Union rules.

The significant points this new law brings are a tax-free gain from the sales of Bitcoin on profits if acquired more than three years ago, and transactions under 100,000 Czech koruna, or USD 4,100, are not to be reported.

This law assists the EU MiCA framework counter the new risks and challenges thrown upon digital finance. Moreover, the Czech National Bank has already decided to embrace Bitcoin in the list of funds in its treasury and will account for up to 5%. The Czech Cryptocurrency Association cooperated in drawing up this fresh legislation, clarifying tax legislation, and hopefully pushing forward sectoral growth for crypto.