How is crypto taxed in Portugal?

Crypto taxes in Portugal changed with the 2023 State Budget, which created a dedicated regime for crypto assets. Today, gains on crypto held for less than 365 days are taxed at 28%, while long-term gains are generally exempt for private individuals.

Is crypto tax free in Portugal?

Partly. For individuals who are not trading as a business, gains on crypto held for 365 days or more are exempt. The exemption is not automatic in every case. Where the other side of the deal is based outside the EU or European Economic Area in a country with no double tax treaty with Portugal, the exemption does not apply, and the gain is taxed whatever the holding period.

Even exempt gains must be reported. The tax authority's guidance puts long-term gains in Annex G1 of the IRS return, the section for gains that are not taxed.

How does the 365-day rule work in Portugal?

The clock runs from when you acquired the crypto until you sell it. Sell within 365 days and the gain is taxed at a special flat rate of 28%. You can instead choose to add these gains to your other income and be taxed at the normal progressive rates, which can help if your income is low.

Short-term gains are declared in Annex G of the Modelo 3 IRS return. That section asks for the name and tax number of the exchange used.

Swapping one crypto for another is not taxed when it happens. The new coin takes over the purchase value of the old one, so the tax is deferred until you dispose of it for money or something else. For how other countries treat swaps, see crypto tax around the world.

How are crypto trading and mining taxed in Portugal?

If buying and selling crypto is your professional activity, the income falls under Category B, the business income category, and is taxed at progressive rates. Under the simplified regime, only part of the income is treated as taxable. The coefficient is 0.15 for crypto sales and 0.95 for mining, so mining income is taxed far more heavily. For background, see what is crypto mining.

Non-professional crypto income that is not a capital gain falls under Category E, the investment income category, and is taxed at 28%, again with an option to aggregate. According to the tax authority's guidance as reported by MoneyLab, when that income is paid in crypto, no tax is due at that moment.

What is changing for crypto taxes in Portugal in 2026?

The rates have not changed as of October 2026. The main change is reporting. Portugal is applying the EU's DAC8 rules, which require crypto platforms, including foreign ones serving Portuguese residents, to report their customers' transactions automatically. ECO reported fines of up to 22,500 euros for platforms that fail to comply, and expects more cross-checking by the tax authority. Our guide to crypto losses and taxes covers how losses work more generally.

Rules differ by country and change often. Check the tax authority or a qualified professional for your own situation.