EU legislators supported the use of blockchain to identify tax evaders and tax the withdrawal of cryptocurrencies into fiat.
European legislators at the plenary meeting during the discussion of the report of the European Parliament member Lydia Pereira (Lídia Pereira) tried to determine in which case transactions with cryptocurrencies should be taxed. And we came to the conclusion that it is advisable to do this at the stage of converting digital assets into fiat currency.
The European Commission has yet to clearly define these and other possible scenarios for the taxation of cryptocurrencies. According to the EU Parliament, international tax authorities must include data on crypto assets when exchanging information about taxpayers.
The deputies called for the application of a “simplified tax regime” for small transactions in cryptocurrency. Members of the European Parliament believe that the blockchain is great as a tool for collecting taxes. At the end of the discussion, the EU Commission called for the introduction of blockchain technology in taxation programs and reforming the tax authorities of the EU countries.
During the plenary session of Parliament, the resolution on the new tax policy of the European Union was adopted by an overwhelming majority of votes, with 566 in favor, seven against and 47 abstentions.
In September, analysts from cryptocurrency analytics company Coincub compiled a list of ten countries, describing the pros and cons for cryptocurrency investors. According to the ranking, Belgium is currently the worst place for investors and crypto companies, while Switzerland is the best.
