10 Countries That Don't Tax Crypto Gains (2021)

1- GERMANY

Germany regards Bitcoin as private money, as opposed to a currency, commodity, or stock. For German residents, any cryptocurrency held for over a year is tax-exempt, regardless of the amount. If the assets are held for less than a year, capital gains tax doesn’t accrue on a sale, as long as the amount does not exceed 600 euros

2- MALTA

Malta doesn’t apply capital gains tax to long-held digital currencies like Bitcoin, but crypto trades are considered similar to day trading in stocks or shares, and attract business income tax at the rate of 35%.

3- MALAYSIA

In Malaysia, cryptocurrency transactions are currently tax-free, and cryptocurrencies don’t qualify for capital gains tax, because digital currencies are not considered assets or legal tender by the authorities.

4- BELARUS

Belarus is taking an experimental approach to cryptocurrencies. In March 2018, a new law legalized cryptocurrency activities in the East European state, exempting individuals and businesses involved in them from taxes until 2023 (when it will come up for review.) Under the law, mining and investing in cryptocurrencies are deemed personal investments, and so exempt from income tax and capital gains.

5- HONG KONG

Hong Kong is one of the crypto tax-free countries but that tax-free doesn't apply to corporations.

6- PORTUGAL

Portugal has one of the most crypto-friendly tax regimes in the world. Proceeds from the sale of cryptocurrencies by individuals have been tax-exempt since 2018, and cryptocurrency trading is not considered investment income (which is normally subject to a 28% tax rate.)

7- SINGAPORE

Capital gains tax does not exist in Singapore, so neither individuals nor corporations holding cryptocurrency are liable.

8- SLOVENIA

No capital gains tax is levied on individuals when they sell Bitcoin, and gains are not considered income. However, companies that receive payment in cryptocurrencies, or through mining, are required to pay tax at the corporate rate.

9- SWITZERLAND

Cryptocurrency profits made by a qualified individual through investing and trading are treated as tax-exempt capital gains in Switzerland.

10- BERMUDA

The island nation of Bermuda is one such territory; it doesn't impose income, capital gains, withholding, or other taxes on digital assets, or on transactions involving digital assets.