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English Section

Poland plans to abolish tax on cryptocurrencies

06.08.2019 11:37
The Polish finance ministry plans to eliminate transaction taxes on cryptocurrency trading, less than two years after they were introduced, following concerns that the sector was being suffocated.
Pixabay License
Pixabay LicenseImage by Pete Linforth from Pixabay

From April 2018, Polish cryptocurrency traders paid a 1 percent tax on all transactions. The tax was levied regardless of whether a trade was profitable or led to a loss.

The finance ministry temporarily suspended the tax in July 2018 in response to concerns. Under new legislation put forward last week, the tax will be abolished on January 1, 2020.

The finance ministry said in a statement: “This tax could have resulted in a situation where the tax burden exceeds the value of all investments in Polish cryptocurrencies.”

The Polish cryptocurrency sector will not, however, be entirely free from taxation. In January 2019 separate legislation entered into force clarifying how income tax is applied to profits made by traders.

Source: PAP