Italy plans to impose a 33% exit tax on holders of cryptocurrency assets who move overseas, and unrealized gains will also be taxed

According to Italian crypto media Criptovaluta.it, Italy is discussing the inclusion of an Exit Tax in the new annual budget bill, imposing a tax of up to 33% on unrealized capital gains for holders of crypto assets who move abroad. This tax obligation may arise even if the relevant Bitcoin or other crypto assets have not yet been sold.

According to the disclosed draft, this regulation applies to individuals who have been tax residents in Italy for at least 6 out of the past 10 tax years, and whose total asset value reaches 800,000 euros. Taxable income is calculated based on the positive difference between the market value of the assets at the end of the tax year before the tax residency status terminates and the purchase cost.

This Exit Tax is not only aimed at cryptocurrencies but also involves other categories of assets, with government bonds proposed to enjoy tax benefits. Currently, the relevant provisions are still in the draft discussion stage and have not yet received formal approval.