The Czech Republic has passed a law to free bitcoins and other digital assets from Capital Gain Tax when it is held for more than three years.
President Petr Pavel Put signature on According to BTC Prague, the law aligns the country’s crypto taxation with traditional securities.
Tax exemption applies to individuals and non-business activities, which eliminates previous tax loss for long-term crypto investors. The prescribed amendment to be effective in the middle of 2025 brings the regulatory structure of the Czech Republic to the Crypto-assets regulations to the European Union markets.
The Chamber of Deputy in January approved the law as part of the comprehensive efforts to modernize the country’s financial rules. Under the new rules, Bitcoin (BTC) holders who sell their assets after three years will no longer pay income tax on profits, which reflect tax treatment of long -term stock investments.
Check bitcoin reserve
The Czech National Bank is reviewing the proposal to connect bitcoins to its reserves, but the process may take months, and any exposure will be much less than the suggested 5%suggested, the sources say.
Governor Els Mixel presented the idea, but the European Central Bank President Christine Legard rejected the proposal, stressing the need for liquidity and safety in the store.
In response, Czech National Bank began a study to evaluate the feasibility of bitcoin, in which Mitchell said he would accept his findings, even if they reject the plan.
