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Germany Moves to End Tax-Free Crypto Gains With 25% Flat Tax

Germany Moves to End Tax-Free Crypto Gains With 25% Flat Tax

Germany is drafting plans to scrap its tax-free 1-year holding period for crypto, replacing it with a flat 25% capital gains levy from 2027. | Credit: CCN.com
Germany is drafting plans to scrap its tax-free 1-year holding period for crypto, replacing it with a flat 25% capital gains levy from 2027. | Credit: CCN.com

Key Takeaways

  • Germany’s government is moving toward abolishing the country’s tax exemption for crypto sold after more than one year.

  • The preferred government model would reportedly treat crypto as investment income, subjecting gains to a flat 25% tax plus Germany’s solidarity surcharge.

  • The proposal remains under development and has not yet become law, meaning Germany’s existing one-year exemption remains in force.

Germany is moving to eliminate one of Europe’s most attractive tax benefits for long-term crypto investors,…

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