Italy is reportedly considering a significant increase in the capital gains tax on Bitcoin and other cryptocurrencies, raising it from 26% to 42%.
This proposed change, announced by Prime Minister Giorgia Meloni’s government, aims to fund election promises and address the country’s fiscal deficit.
As Bitcoin usage continues to grow, the government has identified the need for stricter regulations and increased tax revenue.
Deputy Finance Minister Maurizio Leo emphasized the necessity of the tax increase during a conference call, citing the widespread adoption of Bitcoin and the growing phenomenon of cryptocurrency trading. This move is part of a broader set of financial measures designed to stabilize Italy’s economy.
The announcement comes as the European Union prepares to implement its Markets in Crypto-Assets Regulation (MiCA) by the end of the year. While other countries have faced challenges in taxing digital assets due to investor shifts towards offshore platforms, Italy is aligning its regulations with the EU’s MiCA framework.
