EU taxes on crypto assets and digital services could bring the budget up to €11 billion a year
- The European Commission has estimated potential revenues from new taxes on crypto assets, digital services, and online gambling at almost €11 billion per year.
- A tax on crypto transactions could generate between €3 billion and €4 billion annually.
- The new levies are being discussed as part of the formation of the EU budget for 2028–2034.
The European Commission estimates that new taxes on digital services, online gambling, and crypto assets could provide the EU budget with almost €11 billion in additional annual revenue. This was reported by Euronews, citing a document sent to EU member states.
The initiative is being discussed as part of negotiations on the European Union’s long-term budget for 2028–2034. According to EU Budget Commissioner Piotr Serafin, progress on new “own resources” is necessary to create an “ambitious budget”.
What taxes is the European Commission proposing?
The European Commission is considering several mechanisms for additional taxation. The tax on online gambling has currently received the strongest support among individual EU countries. According to the Commission’s estimate, a levy of 3% on the sector’s net turnover could generate around €1.9 billion annually.
As for the digital levy, the EU expects to receive around €5 billion per year. This would be a tax on digital advertising, intermediary services, and the monetization of user data for companies with global turnover exceeding €750 million.
Cryptocurrencies
A separate section concerns crypto assets. The document considers two options:
- a tax on the total volume of crypto transactions;
- a capital gains tax on crypto assets.
According to preliminary estimates by the European Commission, a tax of 0.1% on the value of crypto transactions could generate between €3 billion and €4 billion in revenue annually. At the same time, the estimate for a capital gains tax is more conservative — between €1 billion and €2.4 billion per year.
The Commission noted that the estimates remain uncertain because of the high volatility of the crypto market and the difficulty of determining users’ jurisdiction.
As a reminder, we previously reported that the PARITY Act, a bill with updated tax rules for the crypto market, had been introduced in the U.S. Congress.
See also: "US Treasury Secretary reports seizure of Iranian crypto wallets worth $1 billion"
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