The Italian Minister of Economy and Finance, Giancarlo Giorgetti, has announced the potential reconsideration of the proposed tax hike on crypto gains amidst growing pressure from his party.
Italy’s New Crypto Tax Plan
Minister Giorgetti stated that the budget for 2025 includes proposals to increase the capital gains tax on cryptocurrencies like Bitcoin from 26% to 42%. The country's Council of Ministers has approved the tax proposal aimed at utilizing investment profits to boost the economy.
Political Reactions to the Proposal
The proposed tax increase has sparked discontent in political circles. Giulio Centemero, a member of the Chamber of Deputies of Italy, called the decision counterproductive and urged market participants to hold in-depth discussions on the matter.
Growth of Crypto Activity in Italy
Italy has recently seen a growth in crypto users, with more than 3.6 million citizens having accounts related to virtual currencies. This indicates the acknowledgment of cryptocurrencies as a legal financial instrument.
The proposal to increase the capital gains tax on cryptocurrencies in Italy elicits varied opinions and political reactions. Meanwhile, the country observes an increase in crypto activities which might influence future policy directions.
