A new report from a leading analytics firm is shedding light on the most tax-friendly countries in the world for crypto investors.
In a report from Coincub, the firm creates a ranking by awarding positive scores of five points to any aspect of crypto income that is free from tax such as crypto income gains or crypto capital gains.
At the top of the list for the most progressive outlook on crypto tax is Germany, according to Coincub.
Says the firm,
“Germany has a surprisingly progressive outlook on crypto tax. Overall it has embraced the crypto tax situation and formalized it more than most leading countries. Having a very generous no tax on gains if your crypto is kept for over a year, seems to be perfectly in keeping with a country whose population has a long tradition of saving as opposed to spending.
This tax-efficient incentive rewards its own citizens and not just non-doms [non-domiciled individuals] and overseas investors as is the norm in so many tax havens. This, and the fact that Bitcoin can be held in traditional savings accounts in Germany, is what keeps it on our list of low crypto taxation economies.”
Following Germany in second place for the most crypto-tax-friendly country is Italy, followed by Switzerland, Singapore and Slovenia.
Coincub also ranked the five worst countries for crypto tax. At the top of the list for the least crypto-tax-friendly country was Belgium.
“Capital gains on speculative transactions of crypto assets are subject to tax, when gains are realized, it’s going to get slapped with a 33% tax. Crypto gains transactions that are regarded as professional income comes under progressive taxation rates up to 50%.”
Belgium is followed by Iceland, Israel, The Philippines and Japan, according to Coincub.
You can find the full Coinclub report here.Don't Miss a Beat – Subscribe to get crypto email alerts delivered directly to your inbox
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