support tax reporting for Italy
W
Worthwhile Minnow
I want Koinly to automatically account for italian tax rules regarding cryptocurrencies. In my understanding:
- Crypto-to-crypto trades are not taxable unless they involve a fiat-backed stablecoin (like USDC)
- Tax treatment may differ if the worth of a wallet exceeded ~51k EUR for 7 consecutive days
- I may need to realize my gains on all assets at year end, no matter if I sold them or not
- Gains under 2k EUR are exempt from taxes
Sources
Status/Workaround
Koinly can most likely already be used for crypto tax reporting in Italy, though some manual adjustments are necessary:
Treating crypto-to-crypto as non-taxable unless it's a trade with a stablecoin
- "Realize gains on crypto-to-crypto" should be ON
- User needs to manually tag as Swapevery trade that is not taxable (ie. doesn't involve a stablecoin)
Per-wallet balances (to check if over 51k EUR)
- To view per-wallet balances, download the "Wallet Balances" report
- You may need to generate multiple reports, to see if the balance was over 51k for more than 7 days
Realizing all gains at year-end
- Create manual withdrawals of all assets with date Dec 31st
- Create manual deposits of all assets (with same amounts) on Jan 1st
- Koinly will automatically calculate the gain on Dec 31st as if the asset was sold and the deposit will receive the cost basis equal to the value of the asset on Jan 1st
This list might not be comprehensive: if in doubt, consult with your tax advisor
2k EUR tax exemption
From the total taxable gain calculated by Koinly, deduct 2000 EUR.
Jack
Merged in a post:
Update the cost per unit on the specified date, using the market value on that date (possibility of restating the value of crypto-assets)
R
Retail Pike
This feature would be very useful in Italy.
Law: "for each crypto-asset held as of 1 January 2023, the value as of that date, determined pursuant to Article 9 of the aforementioned Consolidated Act, may be assumed instead of the cost or purchase value, provided that the aforementioned value is subject to a substitute tax on income taxes at the rate of 14 per cent."
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Feature: update the cost per unit on the specified date, using the market value on that date.
Jack
Merged in a post:
ADD "IS MONEY-TOKEN" FUNCTION TO COMPLY WITH ITALIAN LEGISLATION
M
Malachite Koala
In italy no crypto to crypto transaction is fiscally relevant, unless it's towards USDC or EURC.
Jack
Merged in a post:
Add Crypto to Stablecoin on/off option
T
Tangelo Canid
It is not specified in Italy whether crypto to stablecoin transactions should be treated as taxable.
Requesting feature to switch profits/losses from these transactions on/off.
Jack
Merged in a post:
Hello. Has Koinly finally updated the 2025 Tax reports for Italy please ? Thanks
I
Intelligent Panda
Jack
Merged in a post:
Create Token categories to be compliant with MiCA and Italy tax rules
X
Xenon blue Gazelle
Since conversion crypto->stable in Italy may or not generate capital gains/losses for tax calculations according to MICA compliance/not compliance , it should be fine to setup a button to treat stablecoins differently when calculating tax reports (i.e. swap crypto to USDT doesn't generate capital gains, but swapping to USDC yes).
Jack
Merged in a post:
Create Token categories to be compliant with MiCA and Italy tax rules
P
Present Planarian
Token Categories are needed to calculate taxes. Especially with MiCA (and EU countries like Italy) where some crypto-to-crypto operations are taxed and some not. For example exchanges between utility tokens is not taxed, exchanges between a stable and an utility token is taxed, but only if the stable is not algorithmic. Exchanges between ETH and BTC is not taxed... Exchanges between a utility token and a security token is taxed. And so on.
So to calculate the correct capital gains Koinly need to:
1) Introduce categories for the ASSETS (system wide)
2) In the settings page add a list to include/exclude (whitelist or blacklist) exchanges between chosen categories from the capital gains / losses.
Jack
Merged in a post:
Add "substitute value tax" feature for italy
N
Nutmeg Whippet
As per the new law, it should be possible to apply "rivalutazione" that is a substitute value tax as said in your post: https://koinly.io/guides/crypto-tax-italy/
Please add this ASAP as it is a fundamental feature!!
Jack
Merged in a post:
Italy: Realized gains option for withdrawn FIAT
P
Previous Panther
I need the option to disable "realized gains" when selling my CRYPTO for FIAT.
Italy is debating if gains should be realized ONLY after withdrawing my FIAT.
U
Ultramarine Fish
What's your source on this? I'm getting conflicting information
W
Wild Stork
When you purchase/swap a crypto, you don't have to calculate the capital gain/loss. It should only be calculated if a crypto is sold for fiat currency or MiCA compliant crypto. Currently, the swap does not support this feature at least when the fee is paid in a currency other than the one of purchase (for example, if you buy a crypto on an ETH chain other than ETH, you can see this phenomenon). It needs to be adjusted before June 2025
J
Jade Harrier
Wild Stork do you find any solution in the current version of koinly?
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