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26
May, 2020

Eight Countries that Don’t Tax your Bitcoin (Part A)

In this article, we will present eight countries that have created the framework for not taxing capital gains from Bitcoin and crypto transactions. In the first part, we will present four countries and in the second part, another four.

 

Portugal

In Portugal, the authorities don’t tax any crypto transaction, nor capital gains, or VAT in Bitcoin transactions. In parallel, crypto transactions and profits are not considered in the income tax calculation, showing that Portuguese consider cryptos as a medium of exchange, giving the opportunity to businesses to reduce their taxes by accepting cryptos.

 

Germany

If you hold Bitcoin in Germany for over a year, you don’t have to pay any tax for it, independently from the amount you sold and got profit. The only thing that matters in Germany is holding for a year or more. Germany considers Bitcoin as “private money”, taxing local businesses for any profits from currency changes, in case of crypto acceptance.

 

Singapore

The long-term investors don’t pay taxes in Singapore, due to a lack of capital gains tax in the country. Besides, businesses are subject to income tax if crypto trading is their main activity while in general, companies accepting crypto are subject to simple income tax.

 

Malaysia

 The situation is similar to Singapore, where there is no capital gains tax. During last year, there are rumors that Bitcoin will be legalized in Malaysia, changing the regulatory framework around it.