Germany's Finance Ministry warns of crypto VAT scam

The German Federal Ministry of Finance has issued a warning regarding a sophisticated scam involving forged letters that claim a 19 percent Value Added Tax (VAT) is due on cryptocurrency purchases.

The perpetrators use highly convincing tactics, including citing actual transaction data to lend credibility to the fraudulent claims. The fake letters falsely state that cryptocurrency exchanges or brokers have been authorized by the ministry to collect this tax.

This scam exploits the fact that since early 2026, trading platforms have been reporting user data to tax authorities, making investors more likely to expect official correspondence. The ministry advises citizens not to pay, not to reply, and not to click on any links provided in such communications.