Note: Please note that Bitpanda does not provide tax, legal or accounting advice. The material of this article has been prepared for informational purposes only, and is not intended to provide, and should not be relied on for, tax, legal or accounting advice. You should always consult your own tax and financial advisor. Bitpanda does not provide any tax advice. You can check out the History section on Bitpanda, for third-party tax reporting solutions. For specific tax-related questions, please always contact a financial advisor/tax consultant.
Tax rate and taxable events
On March 1, 2022, a tax reform came into force in Austria. This new tax legislation entails significant changes pursuant to which crypto-related activities are considered taxable under Austrian law, as cryptocurrencies are now classified as capital assets and therefore subject to a special tax rate of 27.5% according to Section 27a (1) EStG. This regime applies to any cryptocurrencies acquired after February 28, 2021. This tax reform shall equally apply to any cryptocurrencies acquired before March 1, 2021 that have either generated ongoing income pursuant to Section 27b (2) EStG or pertain to acquired cryptocurrencies as part of staking, airdrops, bounties or hard forks ((Section 27b (2) second sentence EStG).
If you sell your cryptocurrencies at a profit, your realised capital gains are subject to taxation. This includes:
- Realised gains from trading cryptocurrencies for euro and other currencies which are legal tender
- Realised gains from trading cryptocurrencies for other non-crypto-assets or services, such as paying at the supermarket/at the hairdressers with crypto
For more information about the taxation on realised capital gains from cryptocurrencies, please refer to Section 27b of the EStG (Austrian Income Tax Act) and to the official website of the Austrian Federal Ministry of Finance.
Bitpanda Staking and Bitpanda Airdrops
Bitpanda Staking and Bitpanda Airdrops do not initially represent any income and therefore are not subject to taxation at the time of accrual. In the event of a later liquidation, however, the entire value of your received cryptocurrencies is taxed at a special rate of 27.5%, as there are no acquisition costs to offset your capital gains against.
Tip: You can find in-depth information about Bitpanda Staking in our terms and conditions (Annex II - Staking).
Non-taxable services on Bitpanda
The following activities on Bitpanda are currently not subject to taxation for taxable users in Austria:
- Buying crypto with fiat
- Holding crypto without selling
- Moving crypto between wallets
- Trading crypto to crypto
Bitpanda Swaps and Index rebalancing
Our Bitpanda Swap product is currently treated as crypto-to-crypto trading and is thus excluded from taxation in Austria. As the BMF (Austrian Federal Ministry of Finance) is still working on a more detailed regulation in this regard, this information might be subject to change in the future.
The rebalancing of our Bitpanda Crypto Indices is treated as crypto-to-crypto trading and is thus excluded from taxation in Austria until the potential realisation of gains.