Originally published on: October 31, 2024
Italy’s Minister of Economy and Finance, Giancarlo Giorgetti, is facing criticism over the government’s plan to increase the capital gains tax on cryptocurrencies to 42%. Despite the backlash, Giorgetti defended the decision at a recent World Savings Day event, highlighting the high risks associated with digital assets.
The proposed tax hike, which would raise the withholding taxes on cryptocurrencies like Bitcoin from 26% to 42%, is part of Italy’s budget bill awaiting approval by lawmakers. While some politicians, including Giulio Centemero, have expressed concerns about the potential negative impact of taxing crypto, the government aims to collect around $18 million annually through this measure.
Italy’s move comes in the wake of increased regulatory scrutiny on cryptocurrencies in the European Union, with the Markets in Crypto-Assets (MiCA) framework set to come into effect in December. Although the EU regulations aim to address issues like stablecoin issuance and market manipulation, they are unlikely to hinder Italy’s ability to tax crypto traders.
As Italy navigates the evolving landscape of crypto regulations, it remains committed to ensuring transparency and accountability in the digital asset market. Stay informed with the latest updates on crypto laws and guidelines by subscribing to our newsletter for exclusive insights and analysis. Join us as we explore the intersection of Africa and the crypto world with ETHSafari, bringing you closer to the exciting developments in the global crypto industry.
