Slovenia’s Ministry of Finance seeks public opinion on crypto tax law

According to local media reports, the Ministry of Finance of Slovenia is seeking public comment on a draft bill related to the taxation of cryptocurrency investments. report.

Almost a month after the release by the Monetary Authority of the Republic of Slovenia, the Ministry intends to measure investor sentiment Proposal to impose a 10% tax on cryptocurrency activities.

If signed into law under Slovenia’s Income Tax Act, the proposed bill will impose a 10% tax rate on every legal cryptocurrency conversion and payments made in cryptocurrency. However, the tax liability threshold for the calendar year will be set at 15,000 Euro (17,387 USD). Investors within the limit will be exempt from crypto tax.The authorities had previously clarify Their motivations for implementing crypto taxes:

“What we want to emphasize is that it is not profits that should be taxed, but the amount that Slovenian tax residents receive from their bank accounts when they convert virtual currency into cash or purchase items.”

Cointelegraph previously reported that the draft Slovenian crypto tax bill will be Limited to the purchase of goods and services And only convert encrypted assets into legal tender. Although the Ministry of Finance’s proposal is expected to be passed on November 10, the law will take effect on January 1, 2022.

The bill also requires Slovenian citizens to consider the real-time value of cryptocurrencies to calculate taxes when redeeming and acquiring them. Investors also need to pay a 25% tax on unrealized gains by calculating the price difference during the buying and selling of cryptocurrencies.

Individuals who fail to comply with their tax obligations will be fined from 250 Euros (290 USD) to 5,000 Euros (5,795 USD) depending on the circumstances.

related: Europe has become the largest crypto economy with a transaction volume exceeding 1T USD——Chainalysis

A study by Chainalysis highlights the explosive growth driven by crypto addition in Europe. According to the report, Central, Northern and Western Europe (CNWE) acquired digital assets worth more than US$1 trillion between July 2020 and June 2021. Therefore, CNWE accounts for 25% of global cryptocurrency activity.