Crypto-Asset Taxation

Portugal taxes crypto-assets under specific rules introduced in 2023. Gains from disposing of crypto held for more than 365 days are fully exempt from IRS (Art. 10(1)(k) and 10(19) CIRS). Gains from crypto held for 365 days or less are classified as Category G capital gains and taxed at 28%. Losses from short-term crypto can offset other short-term crypto gains but not other Category G assets. Income from crypto mining, staking rewards, and professional crypto trading is classified as Category B (self-employment income) and taxed at progressive IRS rates. Non-residents are taxed at 28% on gains from Portuguese-exchange transactions, or may be exempt under applicable treaties.