The post Danish crypto holders pay up to 53% in capital gains tax, the highest globally appeared on BitcoinEthereumNews.com.

You will attract the highest tax globally for your cryptocurrency earnings in Denmark. That’s according to a recently released study that shed light on the global crypto tax landscape. The research, a collaboration of crypto research firms Coincub and Blockpit, showed that Denmark-based crypto investors pay up to 53% in capital gains tax (CGT).  This tax rate keeps with the country’s high taxation levels. An excerpt of the report explains: “The Danish Tax Agency treats cryptocurrency gains as personal income, subjecting them to the same progressive tax rates as other forms of income. This high taxation level is consistent with Denmark’s overall approach to income taxation, which is among the highest in the world.” ~Coincub/ Blockpit Iceland, with short-term and long-term CGT of 38.5%, is the second most taxed crypto destination. Like its Nordic counterpart, this high tax rate matches the country’s progressive tax system and social welfare economic model. And wrapping up the top three is Ireland, which taxes crypto earnings at 33%. Source: Coincub/Blockpit The report also highlights some of the tax-friendly countries for crypto investors. These include Bahrain, Bermuda, Switzerland, the Cayman Islands, and the United Arab Emirates (UAE). Their enabling regulatory environments and zero CGT on digital asset investments make them premier destinations for individuals and businesses dealing with those assets. Where can crypto investors catch tax breaks for long-term hodling? Several Eurozone nations offer certain tax advantages for long-term digital currency hodlers. Germany, for instance, levies a 0% tax rate on gains from assets the investor held for over a year or for profits falling below €1,000. Likewise, any crypto income  under €256 is tax-free. That significantly contrasts with the 45% rate it charges on holdings transferred within a year. Belgium also charges individual investors a 0% tax on long-term capital gains from crypto. That…

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Filed under: News - @ November 1, 2024 9:19 am