- ‘Crypto-friendly’ Portugal is against imposing taxes on cryptocurrency.
- The country will soon create a model of its own.
Earlier in May, Portugal was gearing up to impose taxes on crypto earnings and payments. It was even confirmed by the Finance Minister of the country, Fernando Medina that the taxing process will begin soon. The government also received several proposals regarding the same.
However, the government deputies while speaking at the ongoing debate on the State Budget for 2022 have already rejected several proposals from different parties. A media agency named, Eco Sapo reported that the rejected lot also included the proposal to impose taxes.
The proposal mentioned, “In 2022, the Government adopts the necessary initiatives to establish a tax declaratory obligation on cryptocurrency assets with a view to taxing their capital gains from the minimum threshold of 5000 euros.”
As Portugal is more ‘crypto-friendly’ than other countries, many crypto investors even started “relocating to take advantage of the country’s benefits.” It was mentioned during the discussion that, “Several countries already have systems. Several countries are building their models regarding this matter and we are going to build ours.”
It is hard to anticipate Portugal’s next step toward taxing cryptocurrency.