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EU Country to Reduce Cryptocurrency Tax by 50 Percent to Attract "Billions" to Its Budget

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Tue, 05/11/2021 - 15:17
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Alex Dovbnya
A new crypto haven? Hungary is set to slash its cryptocurrency tax by 50 percent
EU Country to Reduce Cryptocurrency Tax by 50 Percent to Attract "Billions" to Its Budget
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Hungary's economy minister Mihály Varga announced Tuesday that the tax on cryptocurrency earnings would be slashed to 15 percent in 2022, which is roughly half of the current rate of 30.5 percent. The move is expected to attract billions of Hungarian forints to the country's budget. 

VanEck's Gabor Gurbacs has commented that Hungary is shaping up to be "the Wyoming of Europe," comparing it to the most crypto-friendly U.S. state. 

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The country has also decreased the 17.5 percent social contribution tax to 15 percent as it is attempting to get its pandemic-ravaged economy back on its feet.       

Hungary is not the only EU country that has introduced tax incentives for cryptocurrency owners. For instance, Portugal doesn't require crypto holders to pay any taxes at all unless they engage in professional trading. 

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About the author

Alex Dovbnya (aka AlexMorris) is a cryptocurrency expert, trader and journalist with extensive experience of covering everything related to the burgeoning industry — from price analysis to Blockchain disruption. Alex authored more than 1,000 stories for U.Today, CryptoComes and other fintech media outlets. He’s particularly interested in regulatory trends around the globe that are shaping the future of digital assets, can be contacted at alex.dovbnya@u.today.