Crypto is no longer a fiscal grey area in Portugal. Since the 2023 State Budget (Law 24-D/2022), gains on crypto-assets have a clear framework under IRS, IRC, VAT and Stamp Duty. This practical guide explains how cryptocurrencies are taxed in Portugal in 2026.
Crypto-assets: the tax concept
The law distinguishes crypto-assets that are not securities (most cryptocurrencies, such as Bitcoin) from security tokens. This guide covers the former — security tokens follow the general rules for securities.
IRS — taxation of individuals
For individuals, crypto income can fall into three IRS categories depending on its nature.
Category G — capital gains
Gains from selling cryptocurrencies are taxed as capital gains at a special rate of 28% (Articles 10 and 72 of the IRS Code). Two rules are decisive:
- The 365-day exemption: gains on crypto-assets held for more than 365 days are excluded from taxation. Only assets sold before one year of holding are taxed.
- Crypto-to-crypto swaps are not taxed: exchanging one cryptocurrency for another does not trigger immediate taxation. The acquisition value carries over and tax is only assessed when you convert to legal-tender currency (euro) or other assets.
The 365-day exemption does not apply to gains linked to entities based in privileged-tax jurisdictions (“tax havens”).
Category E — investment income
Passive rewards paid in fiat currency (for example, certain staking rewards or interest paid in euros) are taxed as investment income at 28%. When the reward is paid in the crypto-asset itself (in kind), there is no taxation at that moment — the gain is taxed later as a capital gain (Category G) when sold.
Category B — professional activity
Anyone engaged in mining, transaction validation or issuing crypto-assets is carrying on a business activity, taxed under Category B (Article 4 of the IRS Code). Under the simplified regime a reduced coefficient generally applies to gross income from these operations — confirm the applicable coefficient for your case with a certified accountant.
Quick summary for individuals: sold before 1 year → 28% on the gain; sold after 1 year → exempt; swapped crypto for crypto → no tax yet; professional mining or staking → Category B.
IRC — crypto in companies
For companies, there is no specific accounting standard for crypto-assets. Classification depends on the holding intent:
- Intangible asset (NCRF 6) when held for use or appreciation;
- Inventory (NCRF 18) when the company trades crypto-assets in the ordinary course of business.
Gains and losses contribute to taxable profit and are taxed at the standard IRC rate. Proper valuation, transaction records and result recognition are essential to avoid adjustments by the Tax Authority.
VAT — when does it apply?
Following the Court of Justice of the EU (Hedqvist case, C-264/14), the VAT treatment is:
- Crypto exchange: swapping fiat for cryptocurrency and vice versa is VAT-exempt (Article 9 of the VAT Code), as it is treated as a financial operation.
- Mining: generally outside the scope of VAT, as there is no service to an identifiable recipient.
- Paying with crypto: when crypto is used to pay for goods or services, the underlying supply is taxed normally for VAT.
Stamp Duty
The 2023 State Budget extended Stamp Duty to crypto-assets:
- Free transfers (inheritance and gifts) of crypto-assets by Portuguese residents — 10% (with the usual exclusions for spouse, ascendants and descendants);
- Commissions charged by exchanges and crypto intermediaries — 4%.
Reporting obligations
Crypto capital gains must be reported in Annex G of the IRS Model 3 return; Category B income in Annex B. Anyone holding crypto-assets or accounts on foreign platforms should be aware of reporting duties. At EU level, the DAC8 directive will strengthen automatic exchange of crypto information between tax administrations — keeping a rigorous record of every transaction matters more than ever.
How EasyFin helps
Tracking dozens of crypto transactions, calculating each asset’s holding period and never missing a filing deadline is demanding. EasyFin centralises your tax obligations and sends timely reminders so you can focus on what matters. Get started in minutes and keep your tax situation under control.
Conclusion
In Portugal, crypto taxation now has clear rules: 28% capital gains (exempt after 365 days), taxation of passive income and mining activity, VAT-exempt exchange and new Stamp Duty rules. Because every situation has its specifics, always consult a certified accountant before deciding.
This article is for information only and does not replace professional tax advice for your specific case.