Crypto Investors in Germany Face Tax Looming Deadline

The third income tax advance payment for 2026 is due on September 10. For most crypto investors, this date carries no significance because they are not required to make an advance payment.

This means that anyone who realized significant gains from their crypto assets in 2026 will likely owe income tax on those gains but won't have to pay the tax office anything until next year. The bill for these taxes only arrives with the assessment notice, and from a certain date onwards, it comes with an added interest charge.

The law sets four fixed dates throughout the year for advance payments: March 10, June 10, September 10, and December 10. Each payment covers the tax owed for the current year. The September 10 deadline is the third of these four dates for 2026.

A gain from selling crypto assets doesn't fit well with this pattern because it arises irregularly and often on a larger scale than in previous years. As a result, the tax office may not set an advance payment even if a substantial tax liability is building up. This creates a lag of two to three years between the sale and the payment.

When the interest period under Section 233a of the Fiscal Code starts on a fixed date, it doesn't require notice or reminder. The clock begins 15 months after the end of the calendar year in which the tax arose. For every crypto gain realized this year, the interest period therefore begins on April 1, 2028.

The rate for late payment interest is 0.15 percent per month, equating to 1.8 percent per year. The amount bearing interest is rounded down to the next divisible by 50 euros. This means that anyone who applies for an advance payment or has one raised during the current year can swap a later interest-bearing debt for an earlier interest-free payment.