The cryptocurrency ecosystem has undergone major changes as bitcoin falls below the $ 10,000 mark and DECO, the consumer protection society of Portugal, wants the government to tax investors in cryptocurrencies.
According to Sábado, a local publisher, the organization sent the Ministry of Finance and the European Commission responsible for consumer defense to propose a tax on cryptocurrencies.
According to the publication, DECO claims that the standard 28% tax rate should be applied to the profits of cryptocurrency transactions and the same tax rate of 28% applies to profits from equities and other financial instruments. DECO revealed the move in a book called Proteste Investe for traditional investors.
According to the organization, it is unfair for traditional investors to pay nearly a third of their profits, while cryptocurrency investors do not have to pay any fees. Its fragment (roughly translated):
"What is the reason for not taxing this financial act? A small saver (through savings certificates) who deposits savings in the country or invests in company stocks and creates wealth and employment sees the government retaining nearly a third A profit (income and capital gains are usually taxed at 28%) How can we prove this financial inequality? It is difficult.
DECO economist André Gouveia reiterated that all other types of investments must be taxed at 28%, so this is an unfair, cryptocurrency.
As previously stated by the CCN, Portugal is a country where governments want to tax Bitcoin users, albeit without legislation. The Ministry of Finance made it clear that Bitcoin does not have a legal framework in the country, but it claims that earned cryptocurrencies are earned on professional activities.
According to Sabadour, the government is currently handing potential Bitcoin regulations to the European Union (EU). The government seems to have financial regulators such as the nation's central bank working with the EU on any issues related to cryptocurrencies.
When asked, João Galamba, vice chairman and party spokesman for the parliamentary group, said: "Bitcoin should be managed at the European and G-20 levels," adding that the development of "isolated Move "will play the opposite role.
Sabadu also talked with left and right-wing parties. The left parties clarified that they did not plan anything to do with cryptocurrencies, while the right-wing parties said they "pay close attention" to this issue, and one of the parties is assessing the need for a potential rule.
As covered by the CCN, Santander Totta, a Portuguese bank, has recently started to block bitcoin-related transactions, a move that saw some customers change their banks. Mário Centeno, Portugal's finance minister and president of the euro group, reportedly said he believes the regulator is overseeing the bitcoin's influence.