The Netherlands is advancing a controversial tax reform that would impose annual levies on unrealized capital gains from stocks, bonds, and cryptocurrencies—a move critics warn could trigger capital flight.
Key Details: Current System: Uses assumed returns rather than actual gains, which courts have ruled invalid.
New Proposal: Would tax paper gains annually, even if assets are not sold.
Political Support: Backed by both center‑right and left‑leaning parties, driven by an estimated €2.3B annual revenue loss if delayed.
Timeline: A system taxing only realized gains is deemed not feasible before 2028 due to fiscal constraints.
Industry Reaction: Dutch crypto analyst Michaël van de Poppe called the plan “insane”, arguing it will drastically raise tax burdens and accelerate an exodus of investors and talent.
Implication: If enacted, the Netherlands would join a small group of countries taxing unrealized crypto gains, potentially driving high‑net‑worth individuals and crypto businesses to more favorable jurisdictions. $BTC $ETH $BNB #BTC #MWAM_Crypto
