From January 1, 2025: the exemption threshold of €2,000 is eliminated. This means that any capital gain, even minimal, will be taxable.

1. The starting point: 2023 — crypto no longer 'tax-free'

Since 2023, Italy has introduced specific tax regulations for crypto-assets: capital gains (and other income) arising from the transfer, reimbursement, exchange, or holding of cryptocurrencies are considered 'other income' according to art. 67, co. 1, lett. c-sexies) of the TUIR.

According to the initial regulation, the rate applied was 26%, but with a 'non-taxable' threshold: capital gains and income were taxable only if the total amount in the year exceeded €2,000.

This regime — 26% above €2,000, exemption below that threshold — represented a compromise: cryptocurrencies ceased to be 'tax-free', but small investors were at least protected up to a certain gain.

2. The proposal for a 'tax hit': 42% tax rate (2024)

With the preparation of the maneuver for 2025 (Budget Law 2025), the government envisaged a drastic change: an increase in the rate on capital gains from crypto from 26% to 42%, confirming, however, that the threshold of €2,000 would remain as the threshold above which taxation applied.

This measure — contained in the first draft of the budget (Article 4 of the Budget Bill 2025) — generated strong concern among investors and industry operators.

The stated objective of the State was to increase revenue: the attached technical report estimated that the 42% would lead to an increase of about 16.7 million euros per year compared to the current revenue.

3. Reactions, pressures, and partial backtracking

In light of protests from the crypto sector and tensions within the governing majority, the proposal was scaled back. Some members of the governing coalition — particularly from the Lega party — called for a more moderate increase, for example to 28% instead of 42%.

The parliamentary discussion led to a compromise: the 42% tax hit was practically abandoned, and it was decided to maintain the rate at 26% for 2025.

4. The final law: 2025/2026 — new rules and tax transition

With the final approval of the Budget Law 2025 (Law No. 207/2024), the current and upcoming tax regime for crypto-assets was defined:

From January 1, 2025: the exemption threshold of €2,000 is eliminated. This means that any capital gain, even minimal, will be taxable.

For the fiscal year 2025, the rate remains 26% for capital gains and other income from crypto-assets.

From January 1, 2026, the rate rises to 33%.

The law also introduces the possibility of a revaluation of crypto-assets held as of January 1, 2025: the taxpayer can choose to assume the market value on that date as the 'purchase cost' of their crypto, paying a substitute tax of 18%. This mechanism can be useful to reduce the taxable base on future capital gains.

Furthermore, the regulation clarifies that operations such as simple exchanges between cryptocurrencies with equivalent characteristics are not considered fiscally relevant — although in the case of subsequent conversion to fiat currency, the capital gain will be taxed.