Regulation· ★★★· bearish·

Germany crypto tax draft could set acquisition costs at zero

  • —Draft shifts crypto from Section 23 to Section 20 of the German Income Tax Act
  • —Assets received free of charge or for services would carry zero acquisition costs
  • —Heuel's example: on a 50,000 euro BTC salary, tax on sale rises from 2,500 to 15,000 euros
  • —Employees holding privately are mainly affected; businesses and miners fall outside
Why it matters: If the rule clears the cabinet, Bundestag and Bundesrat, Bitcoin-denominated salaries in Germany could be taxed twice, weighing on crypto-pay adoption.
Source: CryptoTicker