In 2026, Bitcoin taxation in Europe remains a matter for each individual country. While private capital gains in Germany are generally tax-free after more than one year, a special tax rate of 27.5% applies to new assets in Austria. In Italy, realized Bitcoin gains will be taxed at 33% starting in 2026. At the same time, DAC8 marks the beginning of a new EU-wide reporting period, with the first exchange of information between authorities scheduled for 2027.
In a nutshell: There is no uniform EU tax on private Bitcoin gains. The decisive factors are primarily your tax residency, the type of investment, and, depending on the country, the holding period. Tax-free sales gains do not automatically mean that holdings or reporting requirements are irrelevant for tax purposes.
This comparison concerns directly held Bitcoin in the private assets of individuals who are tax residents in the respective country. It considers the 2026 tax year, not just the tax return for 2025 filed in 2026. Commercial trading, mining, ongoing compensation, inheritances, as well as Bitcoin ETFs and other securities products may be subject to different rules.
Why there is no uniform Bitcoin tax in Europe
Different national tax rules continue to apply to private Bitcoin capital gains. The EU has not introduced a uniform tax rate or a common holding period for this. Nevertheless, two European regulatory frameworks are important:
- MiCAR: The Markets in Crypto-Assets Regulation governs, among other things, the authorization and obligations of providers as well as the protection of their customers. It does not establish a uniform tax rate on private Bitcoin gains.
- DAC8: This directive extends the automatic exchange of tax information to crypto-assets. It concerns the collection and reporting of data, not the introduction of a new EU-wide capital gains tax.
Furthermore, Europe is not synonymous with the EU. For non-EU countries like Switzerland, separate regulations and international agreements must be taken into account.
Bitcoin taxes in a country comparison
The following table shows the basic rules in nine selected countries. The percentages do not refer to the same tax base in every case. Therefore, they are not a ranking of the actual tax burden. Personal circumstances, additional levies, and regional special rules can change the outcome.
Germany: Holding period and reform debate
When selling directly held Bitcoin from private assets, the decisive factor under Section 23 of the German Income Tax Act (EStG) is whether more than one year has passed between acquisition and sale. If this is the case, the capital gain is generally tax-free. If the holding period is shorter or the sale occurs exactly at the end of the one-year period, the personal income tax rate may apply.
The 1,000 euro limit is an exemption limit, not a tax-free allowance. The relevant total profit from all private sales transactions in a calendar year remains tax-free only if it is less than 1,000 euros. From 1,000 euros upwards, the entire relevant profit is generally taxable, not just the amount exceeding that limit. The limit does not apply per platform or exclusively to Bitcoin.
When making multiple purchases, such as through a savings plan, the acquisition dates for each holding must remain traceable. A rigid definition of "one year" as 365 days is unreliable due to how deadlines are calculated and the potential for leap years. Learn more in the Help Center regarding the one-year Bitcoin holding period in Germany.
Reform debate: On July 6, 2026, Federal Finance Minister Lars Klingbeil announced during the presentation of the 2027 draft budget that he intends to tax crypto gains like capital income in the future. According to dpa, petition 201716 to preserve the holding period reached the quorum of 30,000 signatures on August 5, 2026. This must be distinguished from the current legal situation: a political announcement or a petition does not change Section 23 of the Income Tax Act (EStG). Whether and how a reform is implemented, including any potential transitional rules, depends on the legislative process.
Austria: 27.5% and automatic capital gains tax deduction
For Bitcoin acquired on or after March 1, 2021, the new tax regime generally applies in Austria. Since March 1, 2022, realized gains are regularly subject to a special tax rate of 27.5%, regardless of the holding period.
Bitcoin acquired up to and including February 28, 2021, are generally considered legacy assets. The old rules continue to apply to them. In the case of a purely private acquisition, a sale may be tax-free after the old speculation period has expired. Legacy assets and additional Bitcoin acquired later must not be treated as the same.
Since January 1, 2024, obligated domestic providers have been required to withhold and remit capital gains tax on relevant income. 21bitcoin handles this capital gains tax deduction for customers liable for tax in Austria, provided the legal requirements are met.
As long as the income is subject to final taxation through a correct capital gains tax deduction, it generally does not need to be declared again. Other income, transactions without a corresponding tax deduction, or offsetting losses across different providers may still make a tax return necessary. For deposited Bitcoin, therefore, accurate acquisition costs are important.
An exchange between cryptocurrencies that fall under the new regime generally does not trigger taxation at the time of the exchange . The acquisition costs are carried over. This is not synonymous with a final tax exemption on future gains.
What are the specific regulations in other countries?
France, Italy, and Spain: Note current tax rates
France: The French tax authorities now cite a standard rate of 31.4% for private capital gains. This is composed of 12.8% income tax and 18.6% social security contributions. The exemption for amounts up to 305 euros applies to annual sales proceeds, not the profit. Taxation based on the progressive income tax scale can be chosen as an alternative.
Italy: The 33% rate for Bitcoin gains realized from January 1, 2026, is already in effect, not just announced. The previous 2,000-euro threshold was abolished in 2025. Additionally, value-based levies and reporting obligations may apply, even without a sale. The special 26% rule for certain euro e-money tokens does not apply to Bitcoin.
Spain: Under the general tax system, the progressive rate for the savings income base ranges from 19% to 30%. The top rate is therefore no longer 28%. It applies only to the corresponding upper portion of the tax base, not as a flat rate on every Bitcoin gain. Regional special rules and additional obligations must still be observed.
Czech Republic and Portugal: Tax exemptions with conditions
Czech Republic: Since 2025, an exemption has been available under certain conditions for holdings of more than three years, or alternatively, an exemption for annual crypto sales proceeds of up to 100,000 CZK. The annual cap of 40 million CZK for the holding-period exemption remains in place for crypto assets in 2026. In both cases, the decisive factor is the proceeds, not just the profits. Without an exemption, rates of 15% or 23% may apply, depending on the tax base.
Portugal: Gains from privately held Bitcoin can be exempt from taxation after a holding period of 365 days. However, this rule is subject to further conditions, including the tax residency of the parties involved in the EU, the EEA, or a state with a relevant tax information exchange agreement. For shorter holding periods, a special rate of 28% generally applies, with an option for a different tax scale.
Switzerland and the Netherlands: Holdings are also tax-relevant
Switzerland: Private capital gains are generally tax-free. However, Bitcoin holdings are considered taxable assets. The tax burden depends on factors such as the canton, municipality, and personal allowances. Classification as professional trading changes the tax treatment of the gains.
Netherlands: For private investments, Bitcoin generally falls under Box 3. Taxation is based on the calculated taxable return on assets, not simply on each individual capital gain. The Box 3 tax rate for 2026 is 36%. For Bitcoin as an "other investment," a flat-rate return of 6.00% is assumed. If the proven actual total return is lower, this must be taken into account for final taxation. Therefore, "no capital gains tax" would be a misleading summary.
DAC8: Data collection starting in 2026, first exchange in 2027
DAC8 extends the automatic exchange of tax information in the EU to include crypto assets. It is important to distinguish between the reporting year and the time of transmission:
- From January 1, 2026: Affected providers will collect the required data for the first reporting period of 2026. This includes, among other things, identity and tax residency data, as well as details on reportable transactions.
- In 2027: Providers will submit the data for 2026 to the relevant national authorities. The specific reporting deadlines depend on the respective national implementation.
- By September 30, 2027: The first automatic exchange of the relevant data between EU tax authorities is scheduled to take place.
Reported information includes, among other things, aggregated amounts per crypto asset and transaction details. This does not grant tax authorities blanket, real-time access to every wallet, nor does it result in an automatic calculation of your individual tax liability.
DAC8 does not replace the need to file your own tax return or to document acquisition costs and holding periods. Furthermore, the directive does not guarantee that a complete tax report will be automatically available for every individual. Tax obligations existed long before DAC8.
What does this mean for you?
- Clarify your tax residency: The rules of your tax residence are the primary factor, not just the location of the app or exchange. Having an account with a foreign provider does not automatically shift your tax liability to that country. If you have multiple residences or move, additional rules and double taxation agreements may apply.
- Distinguish between gains and proceeds: In Germany, the tax-free threshold is linked to the relevant total profit. In contrast, the thresholds mentioned for France and the Czech Republic refer to disposal proceeds. These figures are not interchangeable.
- Document transactions completely: Keep records of purchase and sale data, acquisition costs, fees, and proof of transfers between your own wallets. A single platform statement does not necessarily capture your entire history.
- Do not confuse tax deduction with full compliance: In Austria, a correct capital gains tax deduction may settle the income in question. Other tax-relevant transactions must still be reviewed separately.
21bitcoin supports you with account statements in PDF and CSV formats, as well as a holding period tracker for Germany. In Austria, the legally required capital gains tax deduction is also applied. How these features work is explained in the overview on Bitcoin taxes and documentation at 21bitcoinThey do not replace individual tax advice.
Conclusion
In 2026, Bitcoin taxes in Europe continue to vary significantly. Beyond tax rates, holding periods, revenue thresholds, wealth taxes, and reporting obligations are all critical factors. While DAC8 standardizes information exchange within the EU, it does not standardize personal tax burdens. Understanding the rules of your own tax residence and maintaining clear documentation of your transactions provides the foundation for correct tax treatment.
Frequently Asked Questions
Is there an EU-wide tax on Bitcoin?
There is no uniform EU tax rate on private Bitcoin capital gains. MiCAR regulates the crypto market, while DAC8 governs the exchange of tax information. Personal taxation continues to be determined by the respective national rules that apply.
Where in Europe can Bitcoin gains be tax-free?
Under certain conditions, this is possible in Germany after more than one year, in Portugal after 365 days, and in the Czech Republic after more than three years. The Czech Republic also has a revenue threshold. In Switzerland, private capital gains are generally tax-free. However, wealth taxes, reporting obligations, and the limitations described in this article may still apply.
Does the German holding period apply if I use an Austrian app?
The location of the provider does not determine your personal taxation. If you are a tax resident in Germany and hold Bitcoin directly as private assets, you are generally subject to German rules. The Austrian tax rate does not automatically apply simply because the app you are using is based in Austria.
Do I have to report Bitcoin gains on my tax return?
That depends on the country and the specific transaction. In Germany, taxable private capital gains must generally be reported via the "Anlage SO" form. In Austria, income that has been correctly subject to final taxation usually does not need to be reported again. Other types of income and additional reporting obligations must be assessed separately.
Do I have to pay taxes if I send Bitcoin to my own wallet?
Simply transferring funds between your own wallets is generally not considered a sale in Germany or Austria, provided the Bitcoin remains in your possession. You should still keep records of acquisition dates and transfer receipts. Payments made to another person are treated differently.
When did DAC8 come into effect, and when will data be exchanged?
The first reporting period begins on January 1, 2026. The corresponding reports from providers and the first automatic exchange between EU tax authorities will follow in 2027. September 30, 2027, is the key deadline for the first exchange between authorities.
Has the Bitcoin holding period in Germany already been abolished?
Based on the legal situation as of September 10, 2026, the one-year period under Section 23 of the German Income Tax Act (EStG) remains in effect. The announced reform is a separate matter. You should verify the legal status again before any future sale.
Note: This article is for general information purposes only and does not constitute individual tax, legal, or investment advice. The information provided is simplified and not exhaustive. Tax laws and administrative practices are subject to change. Please consult a qualified tax advisor regarding your personal situation.
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