The European Parliament Supports Strict Crypto Taxes
MEPs have backed the tax reporting rule, which is due to come into force in 2026.
On 13 September, France held a meeting of the European Parliament, when lawmakers supported the idea of introducing stricter rules for cryptocurrency exchanges. 90% of those present in the hall voted in favor of introducing a rule for taxing cryptocurrencies in the EU.
Tax authorities across Europe will now be able to monitor cryptocurrency trading, preventing fraud risks. In other words, crypto exchanges will report every transaction made to tax authorities. The Directive on Administrative Cooperation, which serves as a point of data exchange between tax authorities, will be revised to create a reporting system.
These changes are part of the topic raised by the European Parliament on the regulation of cryptocurrencies. Earlier in May, the Markets in Cryptoassets (MiCA) bill was approved.
Some have expressed concerns about the innovation, fearing duplicate reporting, as they see no differences between DAC8 and the already existing CARF.
The system proposed back in December 2022 will come into force in 2026. EU countries have time to prepare and implement the rules by the end of December 2025.