{"id":15307,"date":"2022-12-09T13:11:43","date_gmt":"2022-12-09T13:11:43","guid":{"rendered":"https:\/\/crowdfundjunction.com\/blog\/brussels-wants-all-crypto-service-providers-to-report-transactions-of-europeans-taxes-bitcoin-news\/"},"modified":"2022-12-09T13:11:43","modified_gmt":"2022-12-09T13:11:43","slug":"brussels-wants-all-crypto-service-providers-to-report-transactions-of-europeans-taxes-bitcoin-news","status":"publish","type":"post","link":"https:\/\/crowdfundjunction.com\/blog\/brussels-wants-all-crypto-service-providers-to-report-transactions-of-europeans-taxes-bitcoin-news\/","title":{"rendered":"Brussels Wants All Crypto Service Providers to Report Transactions of Europeans \u2013 Taxes Bitcoin News"},"content":{"rendered":"

(Originally posted on : Bitcoin News )<\/b>
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The European Commission has set out to oblige platforms processing crypto transactions for EU residents to share information with tax authorities in the Union. According to the proposal, all crypto service providers, regardless of where they are based, will have to abide by the new rules. <\/strong><\/p>\n

EU to Consider New Reporting Requirements for Crypto Platforms Serving European Users<\/h2>\n

The executive power in Brussels intends to push through new \u201ctax transparency rules\u201d for the crypto industry. The proposal announced on Thursday concerns all service providers facilitating transactions in crypto assets for customers residing in the EU, not only those that are based there.<\/p>\n

At the moment, tax authorities in the bloc lack the information needed to monitor proceeds obtained by using cryptocurrencies, the European Commission (EC) insisted. They are limited in their ability to ensure levies are paid effectively while Europeans lose tax revenues, it stated.<\/p>\n

The new regulations, meant to complement the Markets in Crypto-assets (MiCA<\/a>) legislation and the anti-money laundering rules agreed<\/a> upon earlier this year, should improve the ability of member states to detect and counter tax fraud, tax evasion and tax avoidance, the Commission elaborated.<\/p>\n

The reporting requirements will apply to all crypto service providers, regardless of their size and location, which process transactions of clients residing in the EU. \u201cSerious non-compliance\u201d will trigger penalties with a set minimum level valid across the Union.<\/p>\n

\u201cOur proposal will ensure that member states get the information they need to ensure that taxes are paid on gains made in trading or investing crypto assets,\u201d commented Commissioner for Economy Paolo Gentiloni. \u201cIt is also fully consistent with the OECD initiative on the Crypto Asset Reporting Framework,\u201d he added.<\/p>\n

The plan is to impose the new obligations on the crypto sector through amendments to the Directive for Administration Cooperation (DAC). The EC also suggested extending them to cover e-money and other digital currencies.<\/p>\n

The draft proposal will be submitted to the European Parliament for consultations and to the Council of the European Union for adoption. The European Commission expects the updated Directive to be enforced on Jan. 1, 2026.<\/p>\n

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\nTags in this story
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commission<\/a>, council<\/a>, Crypto<\/a>, crypto assets<\/a>, Cryptocurrencies<\/a>, Cryptocurrency<\/a>, directive<\/a>, EC<\/a>, Europe<\/a>, european commission<\/a>, European Parliament<\/a>, Europeans<\/a>, MiCA<\/a>, proposal<\/a>, Regulations<\/a>, reporting<\/a>, requirements<\/a>, rules<\/a>, service providers<\/a>, Tax<\/a>, Taxation<\/a>, Taxes<\/a><\/div>\n<\/div>\n

What are your thoughts on the proposed tax reporting rules for crypto service providers in Europe? Tell us in the comments section below. <\/strong><\/em><\/p>\n

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\nLubomir Tassev <\/h6>\n

\nLubomir Tassev is a journalist from tech-savvy Eastern Europe who likes Hitchens\u2019s quote: \u201cBeing a writer is what I am, rather than what I do.\u201d Besides crypto, blockchain and fintech, international politics and economics are two other sources of inspiration.

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Image Credits<\/b>: Shutterstock, Pixabay, Wiki Commons, roibu \/ Shutterstock.com<\/em><\/p>\n

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