2026 is the year crypto tax rules in Italy get tougher. The capital gains rate rises to 33%, the tax-free threshold has already disappeared, and the DAC8 Directive gives the Revenue Agency far more visibility than before. If you've ever bought, sold, or simply held crypto, this guide is for you.
The regulatory picture: what has changed, and why it matters now
Until 2022, cryptocurrencies sat in a fiscal gray area in Italy. From 2023 onward, lawmakers gradually built a dedicated tax regime for crypto assets, with the 2023 Budget Law (Law 197/2022) marking the turning point.
Here's how it unfolded in three stages:
Tax years 2023 and 2024: Capital gains were taxed at 26% with a €2,000 exemption threshold. Below that threshold, no tax was due.
Tax year 2025 (return due in 2026): The rate stays at 26% on net capital gains, but the 2025 Budget Law scrapped the €2,000 threshold. Every capital gain, even just a few euros, is now taxable. For reporting purposes there's no minimum at all: even a single euro in crypto must be declared in Schedule RW.
Tax year 2026 (return due in 2027): Capital gains on cryptocurrencies are taxed at 33%. There's no exemption or minimum threshold left. One exception applies: income from transactions in euro-pegged electronic money tokens compliant with the MiCA regulation still qualifies for the reduced 26% rate.
Important change for 2025: The 2025 Budget Law abolished IVAFE (the tax on foreign financial assets) on crypto assets from 2025 onward. In the 2026 return covering 2025, the 0.2% tax on holdings no longer applies.
What counts as a "taxable event"
Not every crypto transaction triggers a tax bill. Knowing the difference between taxable and non-taxable operations is essential, both to avoid paying tax you don't owe and to avoid forgetting tax you do.
Taxable operations (generate a capital gain or taxable income)
- Selling crypto for euros or another fiat currency : the most common case
- Swapping between crypto assets with different characteristics : for example, selling Bitcoin to buy USDC is taxable, since the two assets have a different nature
- Staking rewards and yield farming : the proceeds count as taxable income the moment they're received
- Airdrops : treated as income at market value on the day they're received
- Crypto cashback : rewards from exchange loyalty programs are taxable income
- Mining : proceeds count as business income or miscellaneous income, depending on how the activity is organized
- Lending : interest received is taxable income
Non-taxable operations
- Buying crypto with euros : purchasing is not a taxable event
- Transfers between your own wallets : moving crypto from an exchange to your own hardware wallet doesn't trigger a capital gain
- Swapping between crypto assets with the same characteristics : for example, swapping one stablecoin for another of the same type. Exchanging crypto assets for ARTs isn't taxable either, as clarified in Circular No. 30/2023 from the Revenue Agency
How capital gains are calculated
The LIFO method
In Italy, capital gains on crypto transactions are calculated using the Last In, First Out (LIFO) method: the coins bought most recently are treated as the first ones sold.
A practical example:
- January 1: buy 1 BTC at €30,000
- March 1: buy 1 BTC at €40,000
- July 1: sell 1 BTC at €50,000
Under LIFO, the most recently purchased BTC (the €40,000 one) is treated as the one sold. The capital gain is therefore €10,000, not €20,000.
Fees
Trading fees paid to the exchange reduce the taxable gain. Keeping full records of every fee paid during the year is essential.
Capital losses
If you've realized losses, you can offset them against gains made in the same year or, in some cases, carry them forward to future years. This matters a lot in a volatile year.
The tax return schedules: Schedule RW and Schedule RT
Reporting crypto runs through two separate schedules, each with a different purpose.
Schedule RW (asset reporting)
Schedule RW is filled in through the Redditi PF form, while the equivalent Schedule W applies to the 730 form. Both exist to satisfy the reporting obligation, meaning declaring that you hold crypto assets.
Who must file it: anyone who held cryptocurrency during the tax year, regardless of the amount or whether they made any profit. The obligation applies even if you sold nothing and simply held crypto.
What must be declared: the value of crypto assets held on December 31 of the reference tax year, using code 21, the specific code for crypto assets.
Note: Schedule RW is always mandatory for cryptocurrency, whatever exchange you use. That applies equally to centralized exchanges (Binance, Coinbase, Kraken) and to self-custody wallets (MetaMask, Ledger, Trezor).
Schedule RT (capital gains and losses)
Schedule RT (in the Redditi PF form) or Schedule T (in the 730 form) is instead used to declare realized capital gains and calculate the tax owed.
To report crypto holdings, you use Schedule RW or Schedule W depending on your situation. If you also need to declare realized gains or losses, you fill in Schedule RT or Schedule T.
Important: the 730 form doesn't include Schedule RW, so anyone filing a 730 still has to submit the Redditi PF form as well to meet the reporting obligation.
Staking, airdrops, DeFi: how to report them
The crypto world is far more varied than simple trading. Here's how to handle the most common cases.
Staking: rewards count as income the moment you receive them, at their market value at that time. They must be declared even if you never sell them.
Airdrops: treated the same as staking rewards. The value at the time of receipt is the taxable income.
Yield farming and lending: interest and proceeds generated are taxable income. Always keep an up to date record.
NFTs: selling an NFT is a taxable event. The capital gain is calculated on the difference between the sale price and the purchase price (or the cost of creation, for those who mint NFTs).
DeFi: decentralized protocols don't exempt you from tax obligations. Every swap on Uniswap, every operation on a lending protocol, is potentially taxable if it generates a gain.
Deadlines to keep in mind for 2026
For the return covering tax year 2025:
| Deadline | What to do |
|---|---|
| April-May 2026 | Gather all your documentation and generate tax reports from your exchanges |
| June 30, 2026 | File the Redditi PF form with Schedules RW and RT |
| July 1, 2026 | Pay the 26% substitute tax (first installment or lump sum) |
| July 31, 2026 | Payment with a 0.40% surcharge |
| September 30, 2026 | Deadline for the 730 form |
| October 31, 2026 | Alternative deadline for the Redditi PF form |
| November 30, 2026 | Possible second advance payment |
DAC8: why the Revenue Agency already knows a lot
One of the least discussed but most important parts of the 2026 tax landscape is the EU's DAC8 Directive (transposed into Italian law via Legislative Decree 87/2024). Exchanges are now required to report EU residents' transactions to tax authorities. That means the Revenue Agency can receive data on activity across platforms like Binance, Coinbase, Kraken and many others.
In practical terms, not reporting doesn't mean not getting caught. If anything, the risk has grown considerably. Penalties for failing to report crypto assets are steep:
- Failing to fill in Schedule RW: a penalty of 3% to 15% of the undeclared value
- Incorrectly declaring capital gains: penalties that can reach 240% of the tax evaded in serious cases
If you realize you haven't reported your crypto, you can fix it through voluntary disclosure (ravvedimento operoso), which reduces the penalties. Within 90 days of the deadline, the penalty drops to one tenth of the minimum.
Revaluation: is it still worth it?
The 2023 Budget Law introduced the option to revalue the holding value of crypto assets by paying an upfront substitute tax. This option has been renewed in subsequent years too.
The logic works like this: paying a reduced rate today on your portfolio's current value lowers the taxable gain down the line, especially with the move to 33% on the horizon. Take a portfolio bought for €10,000 and revalued to €100,000: you'd pay 18% on €100,000 (€18,000). If you later sell for €150,000, the taxable gain is only €50,000, a meaningful saving compared with not revaluing at all.
Before opting for revaluation, check with a specialist accountant: it depends heavily on your portfolio's value, your time horizon, and your overall tax situation.
Tools that make reporting easier
Manually tracking hundreds of transactions across multiple exchanges is practically impossible without dedicated software. These tools automatically import transactions, apply the LIFO method, calculate gains and losses, and generate pre-filled schedules.
Among the most widely used in Italy:
- Waltio : an Italian interface, strong integration with the most common exchanges, and support for DeFi and staking
- Koinly : an international platform with solid support for the Italian market
- Blockpit : used by tax professionals, well suited to complex portfolios
- CryptoBooks : an Italian tool focused on the local market
Whichever tool you choose, the advice stays the same: don't rely on software alone. Have the result checked by an accountant experienced in crypto assets, especially if you've used DeFi, received airdrops, or hold complex positions.
Crypto and the ISEE: a detail few people know about
Since 2026 it's been clarified that cryptocurrencies must also be included in the ISEE means-tested declaration, using the figures reported in Schedule RW of your tax return. If you're applying for ISEE-linked benefits (bonuses, subsidies, university grants), the value of your crypto portfolio affects the calculation. Ignoring it can lead to an incorrect ISEE declaration, with consequences attached.
10 mistakes to avoid
- Not reporting because "no one will find out" : with DAC8, exchanges already share your data
- Assuming that simply holding crypto doesn't need to be declared : Schedule RW is mandatory regardless
- Forgetting staking and airdrops : these are income, not capital gains, and must be declared
- Not keeping records of fees : they reduce your taxable amount, throwing them away is a gift to the taxman
- Confusing Schedule RW with Schedule RT : they serve different purposes and both are required
- Ignoring capital losses : they can offset gains and reduce your tax bill
- Using only the 730 form without the Redditi PF form : the 730 doesn't include Schedule RW
- Overlooking crypto held in self-custody wallets : Ledger, Trezor and MetaMask must be declared exactly like exchange holdings
- Not updating your ISEE : the value of your crypto portfolio affects the calculation
- Leaving it until the last minute : gathering reports from every exchange takes time
Conclusion
Crypto taxation in Italy is no longer a gray area. The rules exist, the tax authorities know them, and with DAC8 the data now comes straight from the exchanges. 2026 brings the rate up to 33% for the 2026 tax year, while the return due now, covering 2025, stays at 26% but with no exemption threshold left.
The good news is that with the right tools and support from a qualified professional, reporting crypto is entirely manageable. The bad news is that skipping it has become far riskier than before.
Start now: download the reports from your platforms, import them into tax reporting software, and get an experienced accountant on board. There's still time, but it's not unlimited.
Disclaimer: This article is for informational and educational purposes only and does not constitute tax or legal advice. For your specific situation, always consult a qualified accountant up to date on crypto regulations.
