- A parliamentary vote in Slovakia has been completed approving lower crypto taxes in the country
- The current 25% taxes will be slashed to 7%
Slovakia has joined a growing list of pro-crypto legislation after approving the amendment of the crypto taxes bill, which slashes the taxes to only 7%.
Slovakia to have lower crypto taxes
Slovakia has joined a growing list of countries actively supporting the crypto community. Its country has approved a bill that lowers crypto taxes, among other measures affecting cryptocurrency holders.
The vote was passed on June 28 to reduce personal income tax for profits gained from the sale of crypto assets a user holds for at least a year. The taxes will now stand at 7%, a significant drop from the current 19% and 25% taxation sliding scale. The payments received in crypto assets up to 2400 euros will not be subject to taxation as well.
The bill also excludes income in the form of cryptocurrency from a health insurance contribution of 14%. According to local sources, the Ministry of Finance anticipates the financial impact of the amendment to be around 30 million euros a year. It comes weeks after the parliament passed another amendment to the constitution that codified the citizen’s right to use cash as a payment method in anticipation of the digital euro.
The country is also preparing itself for onboarding the MiCA legislation that was approved recently. This regulation will go into place in the Eurozone in 2024. It is the first of its kind in the world, which sets the EU ahead of other nations like the US. Keep watching Fintech Express for updates on this and other fintech-related developments.