Many Golden Visa applicants will be disappointed to learn that Portuguese Finance Minister Fernando Medina has confirmed that his country will begin taxing cryptocurrency but has not given a specific date. According to Sapo, a local news agency, Secretary of State for Tax Affairs António Mendonça Mendes seconded the measure to tax crypto on May 13. However, there is no specified commencement date or rate for the tax. It will be imposed on investment gains made from cryptocurrencies such as Bitcoin (BTC), which has the greatest market capitalization. This would overturn a 2016 tax law that said that because cryptocurrency is not legal cash, gains cannot be taxed. On Portugal's plans to tax crypto, a 🧵⬇️, – Finance Minister said crypto would be taxed in a loose statement with few details 3 days ago– Portugals bureaucracy moves hyper slow, legislation like this takes a long time to move, never mind be implemented, IMO 2+ years — Jorge 🇵🇹 (@nftjorge) May 16, 2022 Medina explained his reasoning for the tax during a working session in Parliament, comparing Portugal to countries that “already have systems.” According to Sapo, Medina stated that an asset that generates capital gains should not be taxed. He said: “There cannot be gaps that cause capital gains about the transaction of assets that do not have a tax.” Medina does not plan to tax crypto earnings at a high rate. He went on to say that it’s critical to design and implemen...
