Germany Proposes Flat 25 Percent Tax Rate for Crypto Gains Starting 2027

In Germany, crypto losses that exceed the current year's gains can be carried forward to future years. However, under a proposed draft bill from September 2026, gains from crypto assets would be assigned to income from capital assets and taxed at a flat rate of 25 percent.

The current system allows for a loss carryforward, which is the amount of unrelieved negative income that the tax office assesses separately. This can only be set against the same kind of gain, specifically private disposal transactions within one year of purchase.

If the draft bill passes, existing holdings would remain under the current system, but new crypto assets acquired after December 31, 2026, would be subject to the new rules. The grandfathering provision means that coins held before this date would stay in the old system.