Germany Warns Crypto Investors: Fake Tax Notices on the Rise

Scammers are targeting cryptocurrency investors in Germany by sending fake tax notices, claiming they owe VAT on their digital currency transactions.

The Federal Ministry of Finance has confirmed that these demands are fraudulent and there is no legitimate reason to pay VAT on crypto dealings.

Crypto enthusiasts should be aware that Section 4 no. 8 letter b of the German VAT Act states that transactions involving cryptocurrencies are tax-exempt services, as reaffirmed by a European Court of Justice ruling in 2015.