We have set out to mandate a deal for EU residents to share information with EU tax authorities. According to the proposal, all crypto service providers will have to comply with the new rules regardless of where they are based.
EU considers new reporting requirements for cryptocurrency platforms serving European users
The Brussels Executive has announced a new “tax transparency” for the crypto industry. The proposals announced Thursday concern not only EU-based customers, but all service providers facilitating the trading of crypto assets for customers residing in the EU.
At present, tax authorities within the bloc lack the information necessary to monitor revenues generated using cryptocurrencies, the European Commission (EC) claims. there is While Europeans will lose tax revenue, their ability to ensure that levies are effectively paid is limited, it said.
The new regulation is intended to complement the Crypto-Asset Market (MiCA) Act and Anti-Money Laundering Regulations agreed earlier this year, and strengthen Member States’ ability to detect and combat tax evasion. should improve. Tax evasion and tax evasion, the Commission elaborated.
Reporting requirements apply to all crypto service providers processing transactions for clients residing in the EU, regardless of size or location. A “serious violation” triggers a penalty at a set minimum level that is valid across the confederation.
Economic Commissioner Paolo Gentiloni said, “Our proposal will provide Member States with the information they need to ensure that taxes are paid on the profits they make from trading and investing in crypto assets. “It is also fully aligned with the OECD initiative on a cryptocurrency reporting framework,” he added.
The plan is to impose new obligations on the crypto sector through amendments to the Administrative Cooperation Directive (DAC). The EC also proposed expanding it to cover electronic money and other digital currencies.
submitted to the meeting. The European Commission hopes the updated Directive will come into force on 1 January 2026.
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