Fear strikes as Spanish authorities clamp down on crypto holdings

  • The government of Spain signs into a law a draft forcing crypto holders to declare their holdings.
  • Spaniards holding crypto assets more than $57,000 will be required to declare to the regulator.

Cryptocurrency holders in Spain are worried following the new development by the country’s taxman. The authorities are intending to increase their grip on virtual currency holders in a bid to force them to reveal their cryptocurrency holdings.

In Spain residents are required to pay to pay income tax on all the profits that come from digital asset transactions. However, Bitcoin transactions have been exempted from the tax filing process.

Last week Friday, the government of Spain signed into law a draft prepared by the regulators. The draft is designed to ensure that cryptocurrency holders come out and declare the amount of digital assets they hold. The Minister of Finance, María Montero said “It is stated as mandatory that people and companies inform the Tax Agency about this.”

The people with offshore accounts holding Bitcoin, are also require by law to declare the specific amount of digital assets they hold. The good news is that the law will not apply to residents with assets lower than $57,000.

 


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