Italy Crypto Tax Guide 2025: Latest Agenzia Entrate Updates
Italian crypto investors need to report their investments for the previous financial year to Agenzia Entrate, but the forms you’ll need depend on your specific investments, and they all have different deadlines.
Agenzia Entrate has minimal guidance for crypto investors on their investments' tax implications, and it's not always easy to navigate. Fortunately, we've teamed up with crypto tax calculator Koinly to answer your Italy crypto tax questions.
Please note that while this article includes information regarding crypto tax guidance from Agenzia Entrate, it is not tax advice. Always seek guidance from a licensed tax professional for advice relating to your financial situation.
TL;DR: Crypto tax in Italy
🗓️ The financial year runs from January 1 to December 31 each year.
⏳ Tax reporting deadline is September 30 and/or October 15, depending on the forms you need to file.
📍 Profits from selling crypto are taxed at 26% over the annual exemption threshold (though this is unavailable from 2025).
📝 Most taxpayers report any gains, losses, or income from crypto via the Agenzia Online tax portal.
🧑⚖️ Missed or inaccurate reporting may result in fines and penalties.
Tax free crypto events
Some crypto activities are tax-exempt. These activities include:
💳 Buying crypto with fiat currencies like EUR.
🔁 Transferring crypto between your own wallets.
🔒 Holding crypto.
How are cryptocurrencies and NFTs taxed in Italy?
In Italy, cryptocurrencies are subject to tax. Currently, capital gains from crypto are classified as "miscellaneous income" and taxed at a rate of 26%. However, this rate will increase to 33% starting on January 1, 2026, as outlined in the 2025 budget law.
Alternatively, you have the option to pay an 18% tax on the value of your crypto holdings as of January 1.
Crypto Gains
The capital gains tax on crypto in Italy is currently 26%, increasing to 33% from January 1, 2026, under the 2025 budget law. The €2,000 tax exemption threshold — which meant that only gains exceeding €2,000 were taxed — has been abolished under the latest budget law. This change takes effect on January 1, 2025, but the exemption will still apply for previous tax years.
Alternative portfolio tax
Instead of capital gains tax, you can opt for an 18% tax on the value of your crypto assets as of January 1, which can serve as the cost basis (per Article 1, Paragraph 133 of the 2023 Budget Law).
Crypto Income
The Agenzia Entrate guidance is very limited when it comes to the tax implications of other crypto transactions. Some transactions (like mining or staking) could be taxed as personal income (IRPEF) at rates between 23% and 43%.
There are also a number of DeFi activities that may be subject to tax. It’s advisable to speak to an experienced crypto accountant if you have DeFi transactions, as there is no guidance yet.
You can see the latest Income Tax rates here.
How to calculate your taxable income from crypto in 3 steps
Step 1: Calculate your cost basis for individual assets
To calculate your cost basis for crypto, add the purchase price and any related fees. For example, if you bought 1 ETH for €800 and paid a €10 fee, your cost basis would be €810. For crypto acquired through other means without a clear purchase cost, use the fair market value in euros on the day you received it. The same rule applies to crypto received as income.
Step 2: Use an accounting method for multiple assets
Calculating crypto gains and losses gets tricky with multiple transactions. If you buy the same cryptocurrency at different times and prices, the correct cost basis for a sale can be unclear. For example, if you have 3 ETH bought at different times and sell 1 ETH, the Italian Revenue Agency (Resolution No. 788/2021) advises using the Last In First Out (LIFO) method — meaning the cost basis of the most recently purchased ETH is used to calculate the gain or loss.
Step 3: Calculate your gain or loss
Once you’ve established your cost basis, subtract it from the sale price to calculate your gain or loss. If you exchanged crypto for another asset, use the fair market value of the crypto in euros on the disposal date as your sale price.
What about lost or stolen crypto?
Agenzia Entrate hasn't provided clear guidance on the tax treatment of lost or stolen crypto and whether it qualifies as a loss. It's best to consult a tax advisor for advice specific to your situation.
How to file your crypto taxes with the Agenzia Entrate
Italy's tax year runs from January 1 to December 31. Crypto-related income is reported using either the Modello 730 (due by September 30) for employment income or the Modello Redditi (due by October 15) for capital gains and foreign assets. Form RT (for capital gains) and Form RW (for foreign assets) are submitted with the Modello Redditi.
Crypto tax reporting tips
Tracking your cost basis, gains, and crypto income can be complex for active investors. Tools like Koinly simplify this by automatically importing data from Kraken via SSO (OAuth) or CSV upload. Koinly calculates your cost basis, gains, losses, and income and generates tax reports for easy filing.
Crypto tax saving tips
You can’t avoid tax on your crypto without facing penalties from the Agenzia Entrate, but you can reduce your tax bill by:
💎 Hodling for the moon
♥️ Opting for the alternative portfolio tax if that benefits your specific financial circumstances
🔍 Track and harvest your unrealized losses to identify opportunities to harvest these losses (Koinly has a tax optimization tool to help you do this!)
Keep learning about crypto
Now that you understand how your digital asset investments are taxed, why not continue your crypto journey by checking out our Learn Center.
This guide has been provided by Koinly. Kraken is publishing this guide for informational purposes only. We do not claim any ownership of or input to its contents and do not take responsibility or liability for any misstatements, omissions, errors, or inaccuracies contained herein. The information provided is not intended as tax advice and should not be relied upon as such. We recommend that you consult a local tax advisor regarding your specific situation.