For many crypto investors, Portugal offers a crypto-friendly environment. Over the years, the country has introduced many tax incentives and structured laws.
Since 1 January 2023, the Portugal crypto tax is 28% for short-term capital gains (held for less than 365 days), and 0% for long-term crypto holdings (held for more than 365 days). However, these rules drastically change if you are a professional miner or a full-time currency dealer.
Under Portuguese tax law, commercial crypto activities are treated as a business and taxed at progressive tax rates. In this guide, you can read everything about how crypto is taxed in Portugal for 2026, what has changed over the years, the difference between casual investing and professional crypto trading, and much more.
Portugal Crypto Tax: Key Takeaways
Is cryptocurrency taxed in Portugal?
In 2023, Portugal introduced new taxes on cryptocurrencies, and you won’t be taxed unless it is your regular professional activity.
If that’s the case:
- Short-term capital gains (if you sell/dispose of crypto after less than 365 days) are subject to a 28% tax.
- Long-term capital gains (if you sell/dispose of crypto after more than 365 days) are generally tax-free.
However, that’s not always the case with long-term capital gains. Certain types of tokens, where assets are linked to non‑cooperative jurisdictions or where there are separate rules for staking, lending, and other “passive” crypto income, are taxed at 28 percent.
These tax rates make Portugal one of the most crypto-friendly countries in the Western world. In fact, according to our Global Intelligence Unit’s latest Global Crypto-Friendly Nations report, Portugal ranks 6th with a total score of 90.54, outranking countries like Germany (10th with a 89.87 score) and Malta (9th with a 90.27 score).
Portugal’s Crypto Tax Regime
The 2023 State Budget Law introduced Portugal’s crypto tax regime. Portugal has also adopted the European Union’s Markets in Crypto-Assets (MiCA) regulation via Lei n.º 69/2025. This law created better transparency, liquidity, and consumer protection in the cryptocurrency industry.
The law designates the Bank of Portugal and the Portuguese Securities Market Commission (CMVM) as the authorities responsible for supervising the activities outlined in the MiCA regulation. That means overseeing public offerings of asset-referenced tokens (ART), e-money tokens (EMT), and cryptoasset service providers (CASP).
The law classifies the Portugal crypto tax into three main buckets under the Personal Income Tax Code, each with its own rules and rates:
- Investment income (capital, Category E)
- capital gains (Category G)
- business or professional income (self‑employment, Category B)
When filing your annual taxes, you must report your crypto transactions and gains in the annual IRS (Modelo 3) tax return. Alongside the Modelo 3 form, there are other forms, such as:
- Anexo G: This form is for short-term capital gains from Portuguese platforms or brokers.
- Anexo J: This form is for short-term capital gains from foreign platforms.
- Anexo G1: This form is for exempt long-term gains.
- Anexo E: This form is for fiat-paid staking rewards or interest distributions.
- Anexo B: This form is for commercial crypto trading, mining, and all types of business income.
How Crypto is Taxed in Portugal
Following Portugal’s Personal Income Tax Code (PIT Code), crypto income is taxed as follows:
1. Personal Income Tax (Category B)
In Portugal, how your crypto income is taxed depends on the type of activity and the source of the income. Simply buying, holding, or transferring Bitcoin or other crypto-assets is not taxed.
However, if you have earnings from commercial, professional, or active operations, they fall into the business income (Category B). This includes issuing tokens, professional crypto-trading, or validating transactions.
Category B is taxed at Portugal’s progressive Personal Income Tax rates (IRS) from 12.5% to 48% as of 2026. That being said, very high earners pay an additional solidarity surcharge.
If you qualify for Portugal’s simplified tax regime (Regime Simplificado) with gross revenue under €200,000 per year, you are not taxed on 100% of your earnings. In this particular case, the Portuguese tax authority (Autoridade Tributária e Aduaneira – AT) will use specific coefficients to determine your taxable base:
- 0.15 coefficient: Applies to validation, trading, and most general crypto operations. This means 85% of your gross revenue is automatically treated as a tax-free expense deduction.
- 0.95 coefficient: Applies specifically to Portugal crypto mining operations to account for high environmental and energy impacts. This means 95% of your gross mining revenue is treated as taxable income.
2. Investment income (Category E)
In Portugal, passive income derived from crypto assets may fall into Category E investment income (rendimentos de capitais). These are passive investments that come from holding your crypto assets, such as staking rewards, lending interest, and, in some cases, yield farming distributions.
If you earn passive income, you pay a flat 28% tax rate, and you do NOT qualify for the 365-day holding period exemption.
The tax is calculated based on the Euro value of the income when it is received. You can also include this income with your other earnings, such as salary or business income. If you choose this route, your income will be taxed at Portugal’s progressive income tax rates rather than the flat 28 percent.
3. Capital Gains Tax (Category G)
When you sell crypto-assets at a profit, this is treated as capital gains income, known as Category G. Whether you pay tax depends mainly on how long you held the crypto before selling.
Gains from selling crypto assets held for less than 365 days are classified as Category G capital gains and often have a flat 28% tax rate. If you hold your crypto assets for 365 consecutive days or more, the gains are entirely tax-free, provided that you don’t liquidate the assets through entities in a blacklisted tax haven.
If you trade one crypto asset for another, no tax is applied at that moment. Instead, the new asset takes on the same value as the one you gave up. You only pay tax later, when you sell that new asset for cash or exchange it for something that triggers taxation.
There is an important exception to keep in mind. These tax benefits, both the one-year exemption and the deferral on crypto-to-crypto trades, do not apply if you are a tax resident outside the EU, the European Economic Area (EEA), or a country that does not share tax information with Portugal.
NFTs and crypto — What’s different?
Non-Fungible Tokens (NFTs) are excluded from the standard Category G crypto capital gains tax regime. This means individual NFT sales do not automatically follow the 28% short-term or 365-day long-term exemption rules.
But there is a catch: If the Portuguese tax authority detects a habitual, commercial pattern of minting, buying, and selling NFTs as an active trading enterprise, the income can be reclassified, case-by-case, as Category B business income.
What happens if you leave Portugal — The exit tax
If you lose your Portuguese tax residency, you may face immediate tax consequences for your crypto holdings. Under Portugal “exit tax” provisions, changing your tax address to a different country is often treated as a deemed disposal of your crypto-assets under Category G.
This means the Portuguese tax authorities may treat your crypto-assets as if they were sold at their market value on the date you leave Portugal, even though you have not actually sold them.
Any unrealized capital gains (such as profits from crypto that have increased in value but have not been sold) may then be subject to tax. This prevents taxpayers from avoiding capital gains tax by moving abroad before selling their assets.
Here is an example: If you bought 1 BTC for €30,000, held it for less than 365 days, and it is worth €80,000 when you leave Portugal, the €50,000 increase in value may be treated as a taxable gain, even if you have not sold the Bitcoin.
Tip: Gifting crypto in Portugal may trigger Stamp Duty above certain thresholds. If you donate them to a spouse, descendant, or ascendant, you might be exempt. To figure out your exact case, we suggest you consult a local tax advisor, a law firm, or Portal das Finanças before filing your taxes.
| Crypto activity | Taxable? | Notes |
|---|---|---|
| Selling crypto (held 365 days or less) | Yes | 28% flat rate on capital gains |
| Selling crypto (held 365+ days) | No | Tax-free (unless the crypto assets are connected to entities in a blacklisted jurisdiction) |
| Spending crypto | Yes | Treated as a disposal of crypto to purchase goods or services; gains are often taxed at 28% if the crypto was held for less than 365 days |
| Mining | Yes | Taxed as Category B business or professional income; subject to Portugal’s income tax rates (12.5%-48% as of 2026 + solidarity surcharge for high earners), often under the simplified tax regime (if applicable) |
| Crypto-to-crypto swap | No (at the time of the swap) | Not a taxable event at the time of exchange; the cost basis carries over to the new asset; tax is only triggered on eventual disposal for fiat/goods/services (based on the 365-day rule from the original purchase date) |
| Buying crypto with EUR | No | Not a taxable event; keep your records of purchase dates and prices to establish your FIFO cost basis for future disposals |
| Lending interest | Depends | Often falls into the Category E investment income (if applicable) |
| Staking rewards | Depends | Often falls into the Category E investment income (if applicable); no 365-day exemption |
| NFTs | Depends | NFTs are excluded from the Portuguese CGT regime; gains may still be taxed under other rules, especially if you create, trade, or sell NFTs as part of a professional business activity |
| Gifts | Depends | 10% Stamp Duty (Imposto do Selo) above a certain threshold; transfers between spouses, descendants, and ascendants may be exempt |
Cryptocurrency Tax Laws in Portugal
Lei n.º 24-D/2022 is the historical 2023 State Budget Law that introduced Portugal’s crypto tax framework for the very first time. While Article 10, paragraph 19, of the CIRS (Personal Income Tax Code) is the specific statutory provision that established the popular 365-day tax exemption.
In 2025, a proposal to eliminate tax exemptions on assets held for more than 365 days was added as an amendment to the 2026 State Budget (Orçamento do Estado para 2026 – OE2026). However, this proposal was tabled and rejected, which is why Portugal remains a wise choice for long-term crypto holders.
In 2026, Portuguese tax law follows EU regulations on cryptocurrency, which stipulate that capital gains from buying or selling cryptocurrency are not subject to Value Added Tax (VAT).
Portugal follows EU VAT guidance on cryptocurrency transactions, but for income tax purposes, the Portuguese tax authorities have confirmed that crypto assets are treated as taxable assets rather than as traditional currencies.
Cryptocurrencies, as with other types of currency, can generate income in several different ways:
- Capital gains from the sale and purchase of coins
- Profit from commissions charged in services relating to the acquisition or use of cryptocurrency
- Profit derived from the sale of products or services for cryptocurrency
This has seemingly created a contradiction, leading to a court case where Portugal’s tax authority agreed that exchanging cryptocurrencies for fiat money (or vice versa) is exempt from VAT.
This means that when you are buying, selling, or spending mainstream cryptocurrencies, you don’t incur VAT on those transactions in Portugal, even though other taxes (such as personal income tax on short‑term gains or business tax for professional activity) may still apply.
On the other hand, businesses providing crypto‑related services remain fully within the VAT system for their normal supplies, and only the specific exchange/payment leg involving crypto benefits from the VAT exemption under the harmonized EU rules.
Why is Portugal best for cryptocurrency traders?
In many countries, cryptocurrency investment and trading are facing ever-tightening regulations, causing many problems, especially during coin mining. Here are a few reasons why Portugal is considered one of the best places for cryptocurrency traders:
You can pay for services in cryptocurrency
Portugal allows the use of cryptocurrencies to pay for services, and companies like Global Citizen Solutions are revolutionizing how investors can pay for Golden Visa services.
Currently, you can pay for Global Citizen Solutions’ services in cryptocurrencies like Ripple, Bitcoin, and Ethereum. Payment is accepted through the trusted portal Coingate.
Lighter cryptocurrency regulations
With calls for increased regulation and scrutiny in the US and other countries, Portugal’s appeal to crypto investors lies in the ease of trading.
For example, Initial Coin Offerings will not accept those with US addresses or residences. For this reason, obtaining residency or even citizenship in a cryptocurrency-friendly country like Portugal makes sense.
According to Pedro Solimano, a cryptocurrency journalist who was featured as a guest speaker during GCS’ Cryptocurrency Live Stream, several countries like Portugal are establishing a 0% tax on capital gains.
“Countries with crypto-friendly tax regimes offer tax advantages for crypto traders, companies, and investors. Places like Switzerland, Portugal, Liechtenstein, Dubai, El Salvador, Hong Kong, and Singapore may not all have zero tax, but they typically impose lower taxes and have structures designed to benefit those trading or investing in crypto,” says Solimano.
Bitcoin ATMs in Portugal
There are several different places in Portugal where you can complete cryptocurrency transactions with crypto visa cards, such as withdraw Bitcoin and other cryptocurrency earnings, including three Bitcoin ATMs in Lisbon.
VAT is not charged on crypto transactions
Additionally, crypto isn’t subject to VAT in Portugal. This relatively lenient and clear tax structure helps Portugal maintain its reputation as a crypto-friendly destination.
Portugal Golden Visa Cryptocurrency
The Portugal Golden Visa program is for non-EU nationals who invest a minimum of €250,000 or €500,000 (depending on the route) into a qualifying investment option, in exchange for residency.
Crypto investors can apply for the Golden Visa program, but not by directly investing Bitcoin or other cryptocurrencies into the government’s system.
You can qualify using crypto-derived wealth or by choosing a CMVM‑regulated Golden Visa fund with exposure to cryptocurrencies, while all qualifying funds ultimately reach Portugal in Euros through a bank.
After five years of temporary residency in Portugal, you can apply for permanent residency.
Here’s how it works
Portugal still requires the qualifying Golden Visa investment (minimum €250,000 in certain options) to be made in Euros into an eligible Portuguese fund or vehicle, not in crypto itself.
However, Portuguese banks can accept cash‑outs from cryptocurrency and issue the bank declaration the immigration authority needs, so you can liquidate your crypto, send the fiat to your Portuguese account, and then invest from there.
Several CMVM‑regulated funds now qualify for the Golden Visa and hold a portion of their portfolio in Bitcoin or other blockchain‑related assets, while still meeting the rule that at least 60 percent of capital is invested in Portuguese companies and that real‑estate exposure is excluded.
These “crypto” or “Bitcoin‑linked” Golden Visa funds typically require the standard €500,000 subscription, maintain a five‑year minimum term, and are structured so that you get both residency eligibility and indirect exposure to digital assets.
⚠️ May 2026 Update on Portugal's Nationality Law Changes
Portugal's president, António José Seguro, approved amendments increasing the residency requirement for citizenship from 5 to 10 years, and from 7 to 10 years for CPLP nationals and EU citizens. This significantly impacts how visa holders and residents acquire citizenship.
For the latest information regarding these changes, read Portugal Nationality and Citizenship Changes 2026.
Why choose Global Citizen Solutions for your Immigration Visa?
GLOBAL APPROACH BY LOCAL EXPERTS
- GCS has offices located across Portugal.
- Members of the US-Portugal and UK-Portugal Chambers of Commerce in Portugal, and the Investment Migration Council (IMC).
- Our expert team can help you throughout your journey to secure your Visa.
100% APPROVAL RATE
- Our successful track record in applications provides reassurance to applicants.
- We have helped clients from more than 35 countries secure residency in Portugal.
ALL-ENCOMPASSING SOLUTION
- With a single channel of communication, our approach ensures that you have complete clarity on your application.
- Our BeGlobal® Onboarding System allows for a total flow of information.
TRANSPARENCY AND PRIVACY
- Our pricing is clear and detailed, you will not face any hidden costs.
- All data is stored within a GDPR-compliant database on a secure SSL-encrypted server.
