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3 clusters · 36 sources · 4 days · First seen · Last updated

German cryptocurrency taxation and fraud developments

Overview

The German Federal Ministry of Finance has been involved in two distinct developments regarding cryptocurrency. On September 5, 2026, the ministry issued a warning about a sophisticated scam involving forged letters. These fraudulent communications claim a 19 percent Value Added Tax (VAT) is due on cryptocurrency purchases, using actual transaction data to appear legitimate.

Separately, the government is considering a fundamental reform to cryptocurrency taxation. A draft proposal suggests that gains from assets like Bitcoin and Ether could be subject to withholding tax (Abgeltungsteuer), regardless of the holding period. This would end the current tax-free status for assets held longer than twelve months. The proposed reform would apply to holdings acquired after December 31, 2026, with implementation expected to begin in 2027 and automatic withholding by service providers starting in 2028.

Recent details from the draft proposal indicate that the reform would treat disposal gains, as well as income from lending and staking, as capital income. Under the proposed rules, gains could be subject to a flat-rate withholding tax of 25 percent, plus the solidarity surcharge and potentially church tax. While the reform would remove the long-term holding exemption, a personal annual exemption threshold of 1,000 euros is expected to remain in place.

To prevent retroactive taxation, the draft includes a grandfathering clause: assets purchased on or before December 31, 2026, would remain under the existing rules, allowing for tax-free sales after a one-year holding period. The Ministry views cryptocurrencies as a form of private capital investment, making them more comparable to stocks and funds than to traditional private assets. The Ministry expects the measure to generate approximately 350 million euros in additional tax revenue. The draft legislation is currently undergoing review within the federal cabinet and must pass through the Bundestag and Bundesrat to become law.

Entities

German Federal Ministry of Finance · Federal Ministry of Finance · German Federal Cabinet · Germany · Bundestag

Claims

What the coverage asserts, and how many sources carry each claim.

Timeline

  1. 2 days ago

    [BUSINESS] 32 sources
    Germany proposes 25% flat tax on cryptocurrency gains

    Germany's Finance Ministry has drafted a plan to replace the one-year crypto tax exemption with a flat 25% tax on assets acquired after 2026, aiming to align digital assets with traditional capital gains.

  2. 5 days ago

    [BUSINESS] 4 sources
    Germany proposes tax reform for cryptocurrency gains

    Germany is planning a tax reform that would subject cryptocurrency gains, including staking and lending, to withholding tax starting in 2028, ending the current tax-free status for long-term holdings.

  3. 6 days ago

    [CRIME] 2 sources
    Germany's Finance Ministry warns of crypto VAT scam

    The German Federal Ministry of Finance warned of a sophisticated scam using forged letters to demand 19% VAT on cryptocurrency purchases by citing real transaction data.

Sources

amica.de · berliner-sonntagsblatt.de · bild.de · bitcoinbazis.hu · bitcoinethereumnews.com · blockzeit.com · btc-echo.de · coinedition.com · coinpedia.org · cointribune.com · crypto.news · cryptobriefing.com · cryptonews.com.au · cryptoticker.io · decrypt.co · etailment.de · faz.net · fehmarn24.de · finanznachrichten.de · forexlive.com · futurezone.de · hna.de · ibTimes.com · it-boltwise.de · kreiszeitung.de · kriptotarca.hu · leinetal24.de · livebitcoinnews.com · madeinbocholt.de · merkur-online.de · mycryptoparadise.com · nexora.es · op-online.de · portaldobitcoin.uol.com.br · redaktion-paedagogik.de · sharedeals.de

This summary has been updated 6 times: see revision history