Portugal's government is considering imposing a tax on cryptocurrency.

Profits from bitcoin trading are currently not taxed in the country unless they are generated from professional or business operations.

Portugal intends to tax bitcoin gains, a significant policy shift for one of Europe's most crypto-friendly countries.

Profits from bitcoin trading are currently not taxed in the country unless they are generated from professional or business operations.

According to Bloomberg, this is going to change.

Profits from digital assets held for less than a year would be taxed, according to the draught budget for 2023.

According to the measure proposed to parliament on Monday, profits would be taxed at a rate of 28%.

According to the proposal, digital assets maintained for more than 365 days would continue to be tax-free.

Profits from the creation of new cryptocurrencies and mining activities would be taxed, according to the draught budget, which still needs to be approved by parliament.

According to the draught budget, the government will also impose a 10% tax on free cryptocurrency transfers and a 4% tax on broker commissions for cryptocurrency transactions.

By fLEXI tEAM