Portugal Crypto Tax Proposal
Portugal’s Finance Minister, Fernando Medina, has submitted a proposal calling for taxes on cryptocurrency assets held for less than a year as capital gains. Business or professional profits from cryptocurrency were already taxed, with this new proposal aiming solely at individual citizens who were previously exempt.
Capital gains tax stands at 28%, which will weigh heavy on those incentivized to move to the country by the tax-free status to individual citizens. Meia Praia, dubbed ‘Bitcoin Beach,’ is home to a swathe of cryptocurrency fans who immigrated to take advantage of this positive attitude towards these digital assets and will no doubt be reconsidering their position should this new law take place. It will also cause difficulty to those working online in the industry, who would not qualify for any tax-free income from receiving their salary in cryptocurrency form.
The most interesting clause on this is that anyone who holds their position for over one year no longer becomes liable for paying the tax, incentivizing the ‘HODL’ and ‘Diamond Hands’ attitude that has become a meme in the cryptocurrency world.
Keeping holding more than one year in mind to avoid such taxation, an asset with strong deflationary tokenomics would likely come out on top as the best pick. One such token, GLO, created by the Uniglo.io team, comes to mind immediately.
With an Ultra Burn system that constantly removes tokens from circulation forever, this token will likely be a perfect long-term hold. In addition, GLO is backed by the Uniglo Vault, which will contain real-world assets in tokenized form, such as artwork, watches, and real estate.
Currently, in the presale phase, there is limited time left to get yourself an early slice of Uniglo before what may be a spectacular launch.
With new releases coming from teams like Uniglo that will stand the test of time, generating great returns without being caught out with capital gains tax, there is still a bright future in the industry despite the onslaught of regulations hitting digital assets.
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