Italy is planning to implement 42% price hike on crypto trades according to a statement made by the Vice Economy Minister last month. It has taken major backlash though, so there’s a chance they might drop it to 28%. Some want to scrap the hike entirely, while others push for better crypto education. Whatever the outcome is, this could reshape Italy’s place in the crypto game.
The government of Italy is more tilted towards approving a proposal to reduce the planned tax hike on cryptocurrency trading. A junior partner in Prime Minister Giorgia Meloni’s coalition suggests crypto tax limit to be 28% instead of the originally planned 42% according to last month’s budget.
Crypto Industry leaders argue that this absurd proposed tax would certainly make Italy less competitive in the field of crypto, compared to other European Union countries. It is sure to get a major pushback, they quoted. The law currently beholds 26% tax rate for crypto.
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The EU is also reportedly rolling out some major crypto rules soon, so Italy’s case becomes even more heated debate than anticipated. Forza Italia, a center-right political party in Italy, wants to cancel the hike entirely and ditch the tax break for gains under €2,000. The League also suggests teaming up with crypto firms to educate investors. The decision is in hands of Italy’s government and this decision is crucial as it would reshape its crypto future forever.