Greek Government Plans to Implement Cryptocurrency Taxation by 2025

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CONTENT

A special committee will present findings on cryptocurrencies and digital assets to the Ministry of National Economy and Finance by September, paving the way for a new tax framework to be introduced in early 2025.

The Greek government is set to introduce a new tax framework for cryptocurrencies and digital assets, which are currently unrecognized by the state. According to local reports, a special committee will present its findings on the crypto industry to the Ministry of National Economy and Finance by September, with the aim of implementing taxation by January 2025.

The proposed tax solution would treat profits from cryptocurrency and digital asset trades as capital gains from the sale of securities, subjecting them to a 15% tax rate. The committee’s findings will focus on three key areas: defining and recording all cryptocurrencies, determining the method of taxation, and establishing a monitoring process.

The Greek daily paper Ekathimerini reports that the current lack of legislation has allowed investors to exploit untaxed crypto profits, with very few declaring their gains. These investors are reportedly “mainly unemployed individuals or taxpayers with no income but substantial real estate holdings.” Accountants and tax experts in Greece have observed an increase in crypto activity, particularly among those around the age of 30.

Despite the lack of regulation, the crypto scene in Greece is growing. Athens, the capital city, has seen a rise in crypto-related events and meetups. The ATHDAOx event, held for the second consecutive year, attracted four times as many attendees as its inaugural year. The local decentralized finance and crypto community is working to scale both the community itself and its in-person events in Greece.

In a significant development, the Greek stock exchange (ATHEX) and the Sui blockchain announced a collaboration in April, leading to the deployment of a new fundraising mechanism through the Sui ecosystem. A representative from Sui stated that the Greek stock exchange’s Electronic Book Building (EBB) system places it at “the forefront of innovation […] in comparison to exchanges around the world.”

As Greece moves towards regulating and taxing cryptocurrencies, the government aims to balance the need for oversight with the growing interest and activity in the crypto sector.