The budget also asks for tax reductions of €21 billion ($22.3 billion) to help the country’s struggling individuals and enterprises.
According to Cryptoslate, the Italian Parliament has approved a 26% tax that will go effective on December 30 on any cryptocurrency-related revenues exceeding €2,000.
The Italian budget for 2023 includes this new piece of regulation, according to Cryptoslate. The budget describes cryptocurrencies as a virtual, electronic distributed ledger-based representation of wealth that can be stored and exchanged.
To help the country’s suffering people and businesses, tax rebates of €21 billion ($22.3 billion) are also sought in the budget, according to Cryptoslate.
Additionally, the Italian government of Prime Minister Giorgia Meloni aims to promote the disclosure of crypto asset ownership. To incentivize compliance, holders who comply will be able to pay a 14% tax on their holdings starting in January 2023 instead of the purchase price.
In addition to Italy, several European nations have taken action to increase taxes on cryptocurrency gains, according to Cryptoslate. There is now a 28% tax on all bitcoin profits in Portugal. According to Cryptoslate, the Portuguese government also intends to start taxing cryptocurrency broker commissions at a rate of 4% and free cryptocurrencies, including airdrops, at a rate of 10%.
