Cryptocurrencies – how to settle the tax?

Investing in cryptocurrencies carries the risk of loss, but at the same time gives you the opportunity to earn high profits. Income from trading cryptocurrencies should be properly taxed and then submitted to the appropriate tax office. How to settle the tax on cryptocurrency trading?

Income and costs in the context of cryptocurrencies

There is no question that income obtained from trading cryptocurrencies must be taxed. The concept of income is important here, as the taxpayer has the right to deduct the costs associated with the conclusion of the transaction. For example, a person who purchases a cryptocurrency for PLN 30,000, but sells it for PLN 100,000, only taxes the amount of PLN 70,000. Importantly, the taxpayer does not have to pay monthly income tax advances, and there is no obligation to settle every single transaction. This means that he submits one declaration at the end of the tax year, in which he should include all revenues from the transactions carried out.

Which declaration should you choose?

Income obtained from trading in money capital, including cryptocurrencies, should be settled using the PIT-38 declaration. It also includes revenues and costs that relate to trade:
• shares,
• shares,
• financial rights,
• other types of securities.
When submitting PIT Online 2021, remember that we are bound by the statutory deadline, which is May 2, 2022. Importantly, according to Polish law, cryptocurrencies cannot be purchased as part of business activities, so we cannot settle them using PIT-28, PIT-36 or PIT36L forms. Natural persons who also earn other types of income, for example from gainful employment, are required to submit two separate tax declarations. It is not possible to settle cryptocurrency revenues using a form other than PIT-38.

Tax amount

Trading cryptocurrencies is taxed at a rate of 19%, as is trading with other monetary capital. The taxpayer submits one declaration, no matter how many cryptocurrencies he trades and what income he earns from transactions. Importantly, it is not necessary to submit two separate declarations in a situation where the taxpayer additionally generates income from trading other money capitals. All amounts can be shown on one PIT-38 form. Let’s remember about paying the tax on the statutory date. This should be done at the latest by the end of April of the tax year following the year for which the tax return is submitted. We have a bit more time in 2022 because April 30 is Saturday, so the tax deadline is postponed to May 2, 2022. Please note that you can pay the entire tax due to the tax office with one transfer. It does not matter how many individual transactions we have carried out, or whether we also receive other types of income from trading money capital. Remember that when submitting a PIT-38 declaration, we are not entitled to tax reliefs – they should be shown in a separate declaration if we also have other sources of income.


About Alex Marcell

He likes dogs, pizza and popcorn. Already a fanboy of Nintendo and Sony, but today throws anything. He has collaborated on sites and magazines such as GameBlast, Nintendo World, Hero and Portal Pop, but today is dedicated exclusively to Spark Chronicles.

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