In Poland, cryptocurrency tax at a flat rate of 19%. It is calculated based on the difference between the income from the sale of cryptocurrency and the costs of purchasing it.
First, taxable income is determined. It includes the sale of cryptocurrency for fiat money, as well as payment for goods and services with cryptocurrency. However, exchanging one cryptocurrency for another and simply storing digital assets are not taxed.
Next, expenses are deducted from income. These include documented costs of purchasing cryptocurrency and exchange fees for depositing and withdrawing funds. The tax calculation formula is simple: (Income – Expense) × 19%. For example, if a person bought 1 BTC for PLN 150,000 and then sold it for PLN 180,000, the taxable income would be PLN 30,000 and the tax would be PLN 5,700. If the sale was unprofitable, for example, at a price of PLN 130,000, the loss of PLN 20,000 can be carried forward to future tax periods and taken into account in the following declarations.
Income must be reported by April 30 of the following year. Individuals fill out the PIT-38 form, and entrepreneurs using cryptocurrency in their activities – PIT-36. All amounts are indicated in zloty. If the transaction was made in another currency, the exchange rate of the National Bank of Poland on the day preceding the transaction is applied.
It is important to note that mining costs, such as the cost of equipment and electricity, are not officially recognized as tax expenses. However, there are cases when miners successfully proved the opposite in court. If at the end of the year expenses exceed income, the difference is carried over to the next tax period and can be taken into account in the future.
To minimize errors, it is important to keep records of all transactions and use crypto-accounting services.
Additional nuances
- Mining: expenses on equipment and electricity are not considered tax expenses, but there are court decisions where they were proven.
- If at the end of the year expenses exceed income, the difference is carried over to the next tax period.
To avoid errors, it is recommended to keep records of all transactions and use crypto-accounting services.
