Should you declare Bitcoin for taxation?
Bitcoin, like stocks and savings, is considered as an asset and falls under Box 3: savings and investments. In essence, you are obligated to pay taxes on your bitcoins. The tax is calculated based on the value of your bitcoin holdings in euros on the valuation date.
How do you determine the value of bitcoins on the valuation date?
To determine the value of your bitcoins on the valuation date, you can take screenshots of your portfolio during the New Year's Eve or download a yearly overview from the trading platform where you store your bitcoins, such as BL3P. This provides insight into the amount of bitcoin you had and its value on the valuation date (January 1 of the tax year). You are then liable for wealth tax on this amount.
Bitonic currently does not provide (yet) yearly overviews. Since the Tax Authority requires you to use the exchange or broker's price, you might wonder how to find the bitcoin price with us. For this, you can visit our bitcoin price page. Here, you can look up the bitcoin price on a specific date (e.g., the valuation date).
How do you calculate the value of bitcoins for tax reporting in Box 3?
If you know the amount of bitcoin (and/or crypto) you had on the valuation date and the applicable rate at that time, it's simply a matter of multiplying the quantity by the prevailing rate. The resulting amount should be filled in the tax return under 'other assets' in Box 3.
Although it might be tempting to avoid paying taxes or think that the Tax Authority won't be aware of your bitcoins, it is advisable to adhere to the law and file your tax return (failure to declare is even punishable). Note that crypto companies are obliged to report your bitcoin and/or crypto balances to the Tax Authority starting from January 1, 2026 (DAC8).
The good news is that you don't pay taxes on your bitcoin holdings if your wealth falls below the tax-free threshold. This is a fixed amount on which no tax is levied. If you have a fiscal partner, the tax-free threshold is twice as high. As the (fictional) return rates vary annually, we recommend checking the Tax Authority's website for the most up-to-date percentages.
Disclaimer: This FAQ is intended for general informational purposes and is not tailored to your personal situation. It is not tax advice, and no rights can be derived from its content. For more information, consult the Tax Authority's website, or seek personal advice from a tax advisor.