Skip to main content

Tax Authorities in EU to Share Transaction Data Reported by Crypto Firms

Tax Authorities in EU to Share Transaction Data Reported by Crypto Firms

New EU rules will introduce automated exchange of information on crypto revenues reported by service providers in the sector. A new directive adopted by the Union expands existing registration and reporting obligations as well as cooperation between tax administrations across the bloc.

Information Sharing Between National Tax Administrations in EU to Cover Crypto Assets

The Council of the European Union has adopted a directive amending EU rules governing administrative cooperation in the field of taxation in order to include the reporting and automatic exchange of information on revenues from cryptocurrency transactions.

The move seeks to cover additional categories of income and assets by enlarging the scope of the legislative framework. Under the new rules, the mandatory automatic exchange between tax authorities will apply to data handed over by crypto-asset service providers. In a press release the Council stated:

So far, the decentralized nature of crypto assets has made it difficult for member states’ tax administrations to ensure tax compliance. The inherent cross-border nature of crypto assets requires strong international administrative cooperation to ensure effective tax collection.

The updated regulations will apply to a broad range of crypto assets, including those issued in a decentralized manner, stablecoins, e-money tokens, and some non-fungible tokens (NFTs), expanding the definitions in the EU’s newly adopted Markets in Crypto Assets (MiCA) law.

The new directive, which was adopted unanimously by the member states’ finance ministers on Tuesday, was presented by the European Commission in December 2022 and approved by the European Parliament in September of this year.

DAC8 amends Directive 2011/16/EU on Administrative Cooperation in the Field of Taxation (DAC) and will enter into force 20 days after its publication in the Official Journal of the EU. It also features provisions on the exchange of advance cross-border rulings for wealthy, or high-net-worth, individuals.

What do you think about the new EU rules on the exchange of information on crypto transactions between tax authorities? Tell us in the comments section below.



from Bitcoin News https://ift.tt/QolGOX1
Labels:

Comments

Post a Comment

Popular posts from this blog

Mt Gox Creditors Updated, Trustee Says Rehabilitation Custodian Is ‘Currently Preparing to Make Repayments’

On August 31, 2022, the Mt Gox trustee Nobuaki Kobayashi explained in a recent letter that the rehabilitation custodian is “currently preparing to make repayments” to Mt Gox creditors. Trustee Updates Mt Gox Creditors — Repayment Date and Exchange Still Unknown Last week speculation and rumors concerning the release of 140K bitcoin ( BTC ) from Mt Gox littered social media platforms and headlines. Bitcoin.com News covered the situation six days ago as a number of people and Mt Gox creditors called the rumors “ fake news .” During that same period of time, a bitcoin whale transferred 10,000 BTC to unknown wallets, and a 2018 annotation , heuristics, and clustering methods show the funds likely originated from the June 2011 Mt Gox hacks. Following the mysterious whale transfer, last Wednesday, Mt Gox published an official update from the court trustee Nobuaki Kobayashi that explains the court is “currently preparing to make repayments” to creditors. Mt Gox creditors have been wait...
Post a Comment
Read more

Economists Discuss Russia, China Potentially Developing Gold-Backed Currency That Could Undermine US Dollar

Economists have weighed in on reports that China and Russia may be developing a new gold-backed currency that could undermine the U.S. dollar’s status as the world’s primary reserve currency. Russia and China May Be Developing Gold-Backed Currency Several experts have shared their views on Russia and China potentially creating a new gold-baked currency, Fox Business reported Saturday, emphasizing that China has been buying up huge quantities of gold while Russia was forced off the U.S. dollar due to sanctions imposed on the country following its invasion of Ukraine. The news outlet noted that some experts have cautioned that these moves, along with the closer relationship that has developed between Moscow and Beijing, point to the likelihood of China attempting to launch a gold-backed currency. However, neither Russia nor China has officially confirmed plans for such a currency. Craig Singleton, senior fellow at the Foundation for Defense of Democracies and a former U.S. diplomat,...
Post a Comment
Read more

Fidelity Discusses Bitcoin as Portfolio Insurance — Could Soon Stand in ‘Stark Contrast’ to Path Fiat Currencies Take

Fidelity Digital Assets, a subsidiary of Fidelity Investments, says that bitcoin could be considered portfolio insurance. The firm notes that the cryptocurrency “may soon stand in stark contrast to the path that the rest of the world and fiat currencies may take — namely the path of increased supply, additional currency creation, and central bank balance sheet expansion.” Fidelity Says Bitcoin Could Be Portfolio Insurance Fidelity Digital Assets, a subsidiary of Fidelity Investments, recently published a research study titled “The Rising Dollar and Bitcoin.” The research outlines “how bitcoin could be considered portfolio insurance” as the rising dollar impacts global currency markets. “The strengthening U.S. dollar is wreaking havoc among other countries and may put pressure on the Federal Reserve to soon reverse its tightening monetary actions, something that has precedent based on 1985’s Plaza Accord,” Fidelity explained. In addition, “more monetary debasement may be needed to ...
Post a Comment
Read more