Slovenia Moves To Tax Cryptocurrency Sector

Twitter icon  •  Published 2 года назад  •  Mark Weaden

The Slovenian Ministry of Finance is looking for public consultation on a bill relating to cryptocurrency investments

The Slovenian Ministry of Finance is looking for public consultation on a bill relating to cryptocurrency investments

The Slovenian finance ministry is reportedly seeking public opinion on crypto regulatory and tax laws in a country that has facilitated and encouraged the development of digital currency. The proposed Slovenian tax bill would support a 10% tax on fiat-crypto conversations and payments made with cryptocurrencies. 

We recently reported on nations like Dubai and Switzerland discussing a bill to regulate and control the flow of cryptocurrency. With Slovenia now following suit, we can expect to see more of this as the mainstream adoption of digital currency increases.

What does the bill propose?

The Financial Administration of the Republic of Slovenia recently proposed a 10% tax on cryptocurrency activities, which is a result of increased pressure on the ministry from investors. The demand for access to digital assets is increasing, not just from private investors but also from public investment companies. 

The proposed bill would impose a 10% tax rate on every fiat-crypto conversion and cryptocurrency payments. The hope is that the bill will be passed into Slovenia Income Tax Act, with an annual threshold for tax liability set at 15,000 euros. 

Investors will be exempted from crypto taxes, with the government confirming “We would like to emphasize that it is not profit which would be taxed but rather the amount a Slovenian tax resident receives on their bank account on turning the virtual currency into cash or when buying a thing.”

The proposal is expected to be adopted by the 10th of November, but the law wouldn’t actually come into full effect until January 1st, 2022. One interesting point with regard to the taxation of crypto would be to consider the calculations based on the real-time value of crypto at the time of redemption. 

Investors will have to pay a 25% on unrealized gains by calculating the price difference during the purchase and sale of digital assets. Fines will be issued to those who do not comply with the new regulations, which will range anywhere from 250-5,000 euros.

Author

Mark Weaden

Mark Weaden is a British researcher and crypto enthusiast, living in Barcelona. His work has been published on a variety of leading cryptocurrency sites.