Sumar Pushes Europe’s Harshest Crypto Tax Overhaul
Spain’s Sumar parliamentary group has moved to rewrite three major laws: the General Tax Law, the Income Tax Law, and the Inheritance and Gift Tax Law. Under the proposal, profits from crypto would no longer be treated as savings income, but instead taxed as regular income, pushing the top rate to 47%, well above the current 30% ceiling. Corporate entities, meanwhile, would face a flat 30% rate on digital-asset gains. Sumar, which holds 26 seats in Spain’s Congress and is part of the governing coalition, argues that crypto must be brought into tighter fiscal control.
Plan Would Classify Crypto as Seizable Property
The proposal takes an even more aggressive turn by classifying all cryptocurrencies as attachable assets, meaning they could be seized by the state in legal or tax enforcement cases. Critics immediately raised alarms. Lawyer Cris Carrascosa called the measure “unenforceable,” noting that certain stablecoins like USDT cannot be custodied by MiCA-regulated entities, making seizure legally and technically impossible. The plan also mandates that the CNMV develop a “risk traffic light” system to visually warn users of token volatility and regulatory risk.
Economists Warn of an ‘Attack on Bitcoin’
Economist José Antonio Bravo Mateu labeled the amendments “useless attacks against Bitcoin” arguing that lawmakers fundamentally misunderstand self-custody. He stressed that Bitcoin held in private wallets can’t be seized, surveilled, or treated like a traditional financial instrument. Bravo warned that if Spain adopts these punitive measures, many high-net-worth crypto holders will simply leave the country, especially during bull markets where taxes become most painful.
Tax Inspectors Propose Friendlier Bitcoin Regime
Although Sumar pushes stricter rules, some Spanish tax authorities propose the opposite approach. Inspectors Juan Faus and José María Gentil have suggested creating a special Bitcoin tax regime, allowing users to separate wallets and choose between FIFO or weighted-average accounting. Their plan aims to prevent tax evasion while keeping Spain competitive for investors, contrasting sharply with Sumar’s hardened stance.
Spain’s History of Aggressive Crypto Enforcement
Spain’s tax agency has already shown its willingness to pressure crypto holders. It issued 328,000 crypto tax warnings in 2023 and 620,000 notices the following year, signaling intensifying scrutiny. Many in the industry view the new proposal as a continuation of this aggressive trend, one that could transform Spain into one of the least crypto-friendly jurisdictions in Europe.
Japan Moves in the Opposite Direction
While Spain moves to escalate taxes, Japan is slashing them. The country’s Financial Services Agency is pushing a reform that would tax crypto gains at a flat 20%, shifting away from miscellaneous income rates that can reach 55%. Japan aims to attract global crypto businesses; Spain risks pushing them out.
