Italian Cryptocurrency Holders Must Declare Assets on Tax Returns

The Italian government has made significant changes to how cryptocurrency holders declare their assets on tax returns. As of this year, investors are required to report all cryptocurrencies they own, regardless of whether they have any gains or losses.

One key change is the abolition of a threshold that previously exempted small gains from taxation. Now, every euro of profit from selling cryptocurrencies must be reported and taxed at 26% for the 2025 tax year.

Cryptocurrency holders are required to declare their assets in two separate sections of the tax return: one for monitoring purposes and another for calculating taxes on gains. This is a departure from previous years, when investors could rely on some discretion.

The Agenzia delle Entrate has made it easier to comply with these new regulations by providing a pre-filled tax form that includes information on cryptocurrency holdings and transactions. However, experts still recommend seeking professional advice to ensure accurate reporting.