Greece unveils new tax framework for cryptocurrencies

Greece is set to introduce its first comprehensive tax framework for cryptocurrencies under a new bill put forward by the Ministry of National Economy and Finance.

The proposed legislation imposes a 15% tax on capital gains generated from the sale of digital assets, while establishing an annual tax-free threshold of €500 aimed at shielding small-scale transactions from additional tax burdens.

The measure seeks to close a long-standing legal gap regarding the taxation of profits derived from investments in cryptocurrencies.

When the tax applies

Under the new framework, taxation will apply exclusively to the capital gains generated when a cryptocurrency is sold at a higher price than its original purchase value.

For example, if an investor buys Bitcoin and later sells it at a profit, the difference between the purchase and sale price will be treated as taxable income and taxed at 15%.

Transaction-related expenses, including exchange fees and commissions, will be taken into account when calculating the taxable gain, ensuring that tax is levied only on the investor’s net profit.

Crypto-to-crypto exchanges exempt from taxation

The bill clarifies that exchanging one cryptocurrency for another—such as converting Bitcoin into Ethereum—will not trigger a separate tax obligation.

Taxation will only be activated when cryptocurrencies are converted into euros or another official currency, or when they are used to purchase goods and services.

Losses can be carried forward

One of the key provisions of the bill allows investors to offset losses against future gains.

If an investor records losses from cryptocurrency transactions, those losses may be carried forward and deducted from future profits for up to five tax years, providing greater flexibility in the management of digital-asset investments.

Rules for inheritances, gifts and parental transfers

The legislation also formally incorporates cryptocurrencies into Greece’s existing tax regime governing inheritances, gifts and parental transfers.

In such cases, the acquisition value of the assets will be determined according to the amount used to calculate the relevant tax or tax exemption, creating a clear basis for future transfers.

Declaring the origin of funds

Another major change concerns the recognition of proceeds from lawful cryptocurrency sales as an acceptable source of capital.

Under the new rules, income generated from crypto transactions may be used to purchase property, invest in businesses or cover tax imputed-income requirements without raising questions about the legitimacy of the funds.

What changes for staking and crypto lending

The bill also introduces specific provisions for cryptocurrencies acquired through staking, crypto lending and similar activities.

No tax will be imposed when these assets are received. Instead, taxation will apply only when they are sold.

For tax purposes, their acquisition cost will be considered zero unless taxpayers can prove that they incurred a different acquisition cost.

Retroactive application from 2025

The proposed rules are expected to apply retroactively from January 1, 2025.

As a result, profits from cryptocurrency transactions carried out from that date onward will have to be declared in tax returns submitted in 2027.