Crypto taxation: the European Parliament adopts new systems – BeinCrypto International

The European Parliament is working hard on crypto by agreeing on a new tax system, both for users and for the authorities.

Soon a universal crypto taxation?

Crypto taxation is still very much discussed within the governments of the European Union. While France is distinguished by high taxation and Germany goes it alone, the European Parliament has preferred to coordinate the whole.

During a meeting held yesterday, the various regulators discussed together taxation applicable to all countries of the European Union. According to Press release released by Parliament, nearly 566 votes were in favor of the proposal against only 7 votes against. For the moment, few elements have been provided concerning future taxation. According to the document, the tax would currently only be applicable to tokens converted into fiat currency. In addition, it should be favorable to small traders as well as occasional cryptocurrency users. Nothing has been specified regarding companies and it could be that the situation will change in the event of global adoption.

It will also be necessary to wait some time before seeing this new taxation apply. According to the Parliament, the first step of the regulators would be to study the taxes applied in the various countries in order to identify a compatible model for all the territories. Crypto assets will also have to be defined, suggesting that the European Union could engage in heated debates on the subject.

Finally, the European Parliament intends to modernize its taxation system thanks to the blockchain.

Blockchain’s unique features could offer a new way to automate tax collection, limit corruption, and better identify ownership of tangible and intangible assets.

Extract from the press release of the European Parliament.

The various European administrations may therefore need to change their collection system in the years to come.

In France, ADAN remains straddling taxation

During the month of August, the blockchain association ADAN had announced that it wanted to propose other tax alternatives to the government. This is now done since the latter were debated during the month of September. According to BFM Crypto, ADAN would like to reduce the 30% tax imposed on investors in digital currencies. Thus, these would only apply in the event of termination of rights.

Similarly, simplified taxation for employees receiving cryptocurrencies would also have been proposed. In this case, the tax would only be necessary when exchanging tokens for cash. However, the amendment is still very vague regarding the fate of employees receiving their entire salary in crypto. For the moment, the matter is still under discussion and the government has not yet decided on possible changes.

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Crypto taxation: the European Parliament adopts new systems – BeinCrypto International


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