Greece Eyes a 10% Crypto Tax—with a €500 Annual Exemption

Greece is putting out its first, focused cryptocurrency tax system: a 10% tax on people's crypto capital gains with up to €500 in deductible gains every tax year. Under the draft legislation, losses over €500 may be carried forward for up to five years and applied against future crypto gains. Public feedback on the plan is welcome; it is scheduled to reach Parliament in November.

The draft doesn't specify if the €500 allowance will be applied as a threshold or subtracted from profits, therefore that information may evolve or be explained. While Greece now lacks a thorough crypto-tax system, the plan would cover people's profits from digital assets grouped as cryptocurrencies.

Though the rules could change from nation to country, the 10% rate would put Greece toward the lower end of the different tax systems across the EU if implemented. Investors would have to keep record of purchase prices, sales revenues, and losses across wallets and exchanges in order to figure their tax liability. Though the last effect will rely on the legislation and its interaction with other tax systems, the comparatively low rate and exemption might help to entice compliance.