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New Budget Plans

New Crypto Tax Could Significantly Impact Investors

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New Tax Plans Could Significantly Alter Profits from Bitcoin and Other Cryptocurrencies Photo: Getty Images
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May 9, 2026, 5:48 am | Read time: 2 minutes

The tax treatment of cryptocurrencies in Germany could significantly change. This is based on a budget draft for the year 2027, first reported by the online magazine “Mobiflip.” According to this, the federal government is considering new rules for profits from Bitcoin and other cryptocurrencies.

Until now, the rule was: Anyone who holds cryptocurrencies for more than twelve months can sell them tax-free afterward. This very rule is now under discussion and could be eliminated in the future.

Debate on Flat-Rate Taxation

There are no concrete decisions yet, but a possible model is already being discussed. A flat-rate taxation of profits from cryptocurrencies is being considered. This would be based on the capital gains tax. This means: 25 percent tax on profits, plus a solidarity surcharge and possibly church tax. This would make taxation similar to stock transactions.

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For some investors, this could even have advantages. Currently, short-term profits are often taxed at the personal tax rate, which can be significantly higher.

Impact on Different Investor Groups

If the current holding period is eliminated, it would mainly affect long-term investors. Those who have relied on tax-free profits after one year would need to rethink. At the same time, new advantages could arise, such as a simplified way to offset losses against gains. Transition rules for existing investments are also conceivable.

In parallel, there are also considerations at the European level to generate additional revenue from cryptocurrencies. Overall, the tax future of Bitcoin and other cryptocurrencies remains open.

This article is a machine translation of the original German version of TECHBOOK and has been reviewed for accuracy and quality by a native speaker. For feedback, please contact us at info@techbook.de.

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