Crypto Taxes in Germany 2026: The Complete Guide

Holding crypto as a freelancer or GmbH director is normal by now – the tax treatment behind it is not. Unlike with shares, there is no flat withholding tax and no bank that deducts it automatically. You are responsible for declaring it correctly, and from 2026 crypto exchanges report your trades directly to the tax office.

The good news: in private assets, crypto gains are completely tax-free after a one-year holding period – no matter how large. The bad news: if you do not know the rules, short-term gains are taxed at your full personal income tax rate of up to 45 %. This guide covers everything you need to know as a business owner.

We walk through how crypto is taxed, the one-year holding period, the €1,000 exemption limit, staking and lending, the difference between private and business assets, and how to declare it all correctly.

In short: crypto in private assets is completely tax-free on sale after a 365-day holding period (§23 EStG) – no matter how large the gain. Within the year, up to €1,000 in gains per year stays tax-free via the exemption limit; above that your personal income tax rate (up to 45 %) applies. Staking and lending are taxed separately as other income (€256 exemption limit). Crypto in business assets or a GmbH is always fully taxable – no holding period, no exemption limit. Everything is declared in the Anlage SO form. From 2026, DAC8 means every EU exchange reports your trades to the tax office.

How cryptocurrencies are taxed in Germany

For tax purposes, crypto is not capital investment income – it counts as an "other economic asset" (sonstiges Wirtschaftsgut). That has one key consequence: there is no flat 25 % withholding tax (Abgeltungsteuer) as with shares or ETFs – and no bank withholds anything automatically.

If you hold crypto as private assets, gains from selling are private sale transactions under §23 of the Income Tax Act (EStG). They are taxed at your personal income tax rate (14–45 %, plus solidarity surcharge and church tax where applicable) – the same rate that applies to your self-employment profit. You declare it in the Anlage SO form of your income tax return.

The difference from the world of shares is the heart of the topic:

It sounds like a drawback, but it is the big advantage: shares have no one-year holding period at all.

The one-year holding period: the most important lever

The central rule: anyone who holds crypto in private assets for at least 365 days sells completely tax-free – whether the gain is €500 or €50,000.

• With multiple purchases, FIFO applies: the oldest holdings are sold first. If you buy regularly, you always sell the oldest (often already tax-free) coins first.
• Lending or staking income no longer extends the holding period to 10 years. That old rule was scrapped in the BMF letter of 06 March 2025 – it stays at one year.
• The period starts with the purchase and ends exactly one year later; the date matters, not the calendar year.

Example: You buy Bitcoin for €10,000 in January 2025 and sell it for €18,000 in March 2026. Holding period over one year → the €8,000 gain is tax-free. If you instead sell in November 2025, the €8,000 is fully taxable – at a marginal rate of 42 % that is roughly €3,360 in tax. A few months of patience decide a four-figure amount here.

How to use this lever systematically is covered in crypto tax optimization.

The €1,000 exemption limit per year

If a sale falls within the holding period, an exemption limit applies: up to €1,000 in gains from private sale transactions per calendar year stays tax-free (§23 (3) EStG, raised from €600 in 2024 – unchanged for 2026).

Important: this is an exemption limit, not an allowance. A total gain of just €1,001 makes the entire amount taxable, not only the part above €1,000. Plan your sales to stay just below the line – or well above it.

The exemption limit covers all private sale transactions together – so gold or other "other economic assets" count towards it too.

When a taxable event occurs

Not every move in your wallet triggers tax. What matters is whether you realize a value:

The most common mistake is the crypto-to-crypto swap: many assume only the exit into euros matters for tax. In fact every swap is a taxable sale at the daily rate – and starts a fresh holding period for the new coin. Stablecoins are no exception; details in the guide to stablecoin taxes.

Staking, lending, mining & airdrops

Income from staking and lending counts as other income under §22 No. 3 EStG. It is taxed at the market value at the time of receipt – not only when you sell. There is a separate exemption limit of €256 per year for this (also a limit: from €256.01 everything is taxable).

If you later sell the coins you received, the normal one-year holding period under §23 EStG applies again. That is how the two provisions interlock:

Mining can be classified as commercial if done at scale – then business-asset rules apply and you need a trade licence. Occasional mining stays other income.

Private vs. business assets – for the self-employed and GmbHs

This is the biggest trap for business owners. As soon as crypto sits in business assets – because your GmbH buys it or you accept Bitcoin as a freelancer – every private tax advantage disappears:

Practical tip: if you want to HODL long term, buy privately with taxed income – not from the business account. If you accept crypto as payment, swap the incoming amount to euros the same day (see accepting crypto payments). Which strategies actually save tax is covered in crypto tax optimization. For a GmbH, the company tax rules apply on top.

Documenting and declaring crypto correctly

From 2026 the DAC8 directive kicks in, implemented in Germany through the Crypto Asset Tax Transparency Act (KStTG): EU crypto service providers automatically report their users' transactions to the tax authorities. The first reporting period is the 2026 calendar year; exchanges transmit the data to the Federal Central Tax Office by 31 July 2027. Together with the Platform Tax Transparency Act (PStTG), this means the tax office sees your trades. Clean documentation is mandatory – every transaction with the daily rate in euros, FIFO allocation, and the holding period.

How to declare crypto in your tax return:

1. Enter all sales within the holding period in the Anlage SO (acquisition and disposal dates, rates, gain).
2. Sales after the one-year period are tax-free and need not be declared – but keep the records.
3. Record staking/lending income separately as other income (§22 EStG).
4. Actively claim losses in the Anlage SO, otherwise the loss carryforward lapses.

Norman connects wallets and exchanges, imports every transaction with its daily rate, detects expired holding periods, and transfers the figures straight into your EÜR or annual statements – losses can be used via the Anlage SO and loss carryforward. More on taxes for the self-employed.

Frequently asked questions about crypto taxes in Germany

How much crypto gain is tax-free? After a 365-day holding period in private assets, the gain is tax-free without limit. For a holding period of under a year, up to €1,000 in total gains per calendar year stays tax-free via the exemption limit.

Which form do I need for crypto? The Anlage SO (other income) of the income tax return. That is where you enter private sale transactions under §23 EStG and staking/lending income under §22 EStG.

Is a crypto-to-crypto swap taxed? Yes. Every swap – even BTC → ETH – counts as a sale at the daily rate and a new purchase. The gain is taxable if the swapped coin has been held for less than 365 days.

Do I have to declare crypto if I only held it and didn't sell? No. Simply holding is not a taxable event. Only a sale, swap, or payment with crypto triggers tax.

What happens if I don't declare crypto gains? That is tax evasion. With DAC8, the tax office receives exchange data automatically from 2027 – you risk back payment, evasion interest (6 % p.a.), and penalties.

Will the one-year holding period be abolished in 2026? A possible abolition is being discussed politically but has not been decided. For 2026 the one-year holding period applies unchanged.

Conclusion

In Germany, cryptocurrencies are taxed as a private economic asset – not with a flat withholding tax, but at your personal rate. The most important lever stays the one-year holding period: after 365 days in private assets, the gain is tax-free. Watch the differences for staking, keep private and business assets cleanly separated, and document every transaction. With DAC8 from 2026 at the latest, it pays to get this right from the start.