Crypto Taxes in Germany 2026: The One-Year Rule and What You Really Pay

Last reviewed: November 2026 · Reviewed by Stéphane Gombauld, tax expert, technologist and digital nomad

You hold crypto and you live in Germany, or plan to. This guide explains the one-year rule, the EUR 1,000 threshold, how staking rewards are taxed, how losses work, and what changes now that platforms report to the tax office.

Germany cryptocurrency taxes in 2026: the key figures

What changed for 2026

• Platforms now report to the tax office. EU crypto-asset service providers collect data on their users' 2026 transactions under DAC8. The first exchange between EU tax authorities is due by 30 September 2027.
• German law in place. The Federal Central Tax Office (BZSt) states that Germany implements DAC8 and the OECD's CARF through the Crypto-Asset Tax Transparency Act (KStTG).
• Lower tax on short-term gains. The 2026 tariff raises the tax-free amount to EUR 12,348 and starts the 42% band at EUR 69,879, per § 32a EStG.
• The one-year rule and both thresholds are unchanged.

Is this guide for you?

Read on if you…

• live in Germany, or will be a German tax resident in 2026, and hold crypto in your own name
• stake, lend or swap tokens and want to know what triggers tax
• are moving to or from Germany with a crypto portfolio and want to time your sales

Probably not your case if you…

• hold crypto through a GmbH or another company (business-asset rules apply, with no one-year exemption)
• trade or mine on a commercial scale (your profits are business income, not private gains)

How does Germany tax crypto gains in 2026?

German law treats privately held coins as "other assets" (andere Wirtschaftsgüter). Selling them is covered by § 23 of the Income Tax Act (EStG), the same rule that applies to gold. The result is a two-speed system:

• Held more than one year: the gain is tax-free, whatever the amount.
• Held one year or less: the gain is added to your other income and taxed at your personal rate.

In 2026, your first EUR 12,348 of total taxable income is tax-free. Rates then rise from 14% to 42% from EUR 69,879, and 45% from EUR 277,826. A 5.5% solidarity surcharge applies once your income tax exceeds EUR 20,350 (§ 3 SolZG). Church members also pay 8% or 9% church tax (PwC, secondary).

The flat 25% tax in § 32d EStG covers capital income such as dividends and share gains. Coins aren't in that box. That's the single most common misunderstanding. For shares and ETFs, see our guide to capital gains tax in Germany.

What counts as a sale?

A taxable sale is any disposal of a coin for something else within the holding period. That includes:

1. Selling crypto for euros or another fiat currency.
2. Swapping one coin for another: Bitcoin into Ether is a sale of the Bitcoin.
3. Paying for goods or services with crypto.
4. Converting into or out of stablecoins.

Moving coins between your own wallets is not a sale. Neither is buying crypto with euros.

The EUR 1,000 threshold is a cliff, not an allowance

All your private sale gains in a calendar year are added up: crypto, gold, anything under § 23. If the total is below EUR 1,000, nothing is taxed. At EUR 1,000 or more, the entire amount is taxable, not just the excess. That's what Freigrenze (exemption threshold) means, as opposed to a Freibetrag (allowance).

Which coin did you sell?

If you bought the same coin at different times, the holding period depends on which units you sold. § 23 writes first in, first out (FIFO) into the law only for foreign currency. For coins, the Federal Ministry of Finance's crypto guidance sets the accepted methods, and most holders use FIFO per wallet. Whatever you choose, apply it consistently and document it.

Is staking, lending or mining income taxable?

Yes, but under a different rule from sales. Rewards you earn by putting coins to work are income when you receive them.

The EUR 256 test is also a cliff. EUR 255 of staking rewards is tax-free; EUR 300 is fully taxable.

Here's a point to check if you stake. § 23 extends the holding period to ten years for assets that produced income in at least one calendar year. Whether that applies to staked coins is decided by the Federal Ministry of Finance's crypto guidance. Check its current letter, or ask an adviser, before relying on a one-year sale of staked coins.

How do you report crypto on your German tax return?

Short-term gains and staking income go in your annual income tax return, filed online through ELSTER, the tax administration's portal. If you file yourself, the 2026 return is due seven months after year-end (§ 149 AO). As 31 July 2027 is a Saturday, that means Monday 2 August 2027.

Keep a transaction-level record for every wallet and exchange account:

1. Wallet addresses and accounts you control.
2. Date, amount and euro value of each purchase, swap and sale.
3. The FIFO queue you used, per wallet.
4. Exports from tracking tools, plus the raw platform data behind them.

Here's the catch. Under DAC8, platforms report 2026 activity to their tax authorities in 2027, and EU authorities then exchange it. Gains the Finanzamt can see but you didn't declare become a tax-evasion question, not an honest mistake. Read our guide to tax fraud regulations in Germany if you have open years.

What about losses?

Losses on coins sold within one year count, but only in one box. Under § 23(3) EStG, they offset other private sale gains in the same year. Leftover losses can be carried back one year or forward, again only against private sale gains.

You cannot set them against salary, freelance income or dividends. A loss on coins held longer than one year is ignored, just like the gain would be. Declare the loss in the year it arises, so the tax office records it for later years.

Does moving countries change the picture?

Germany taxes residents on their worldwide gains, wherever your exchange is based. If you are resident on the day of sale, German rules apply. When residence starts and ends is covered in our guides to obtaining German tax residency and ceasing German tax residency.

Leaving? The German exit tax in § 6 AStG targets company shares of at least 1% and, through the Investment Tax Act, large fund holdings. Directly held coins are not on that list. Once you are resident elsewhere, your new country taxes later sales under its own rules.

Comparing bases? Austria and Malta take very different approaches: see cryptocurrency taxes in Austria and taxation of cryptocurrencies in Malta. For a holder who can wait a year, Germany is one of Europe's friendlier regimes.

Common mistakes (and what they cost)

• Assuming the 25% flat tax applies → it doesn't. A high earner selling after eight months pays up to 45% plus surcharges, not 25%.
• Treating EUR 1,000 as an allowance → gains of EUR 1,050 are fully taxable, not EUR 50. Moving one sale into January can keep a year below the threshold.
• Forgetting that swaps are sales → rotating from Bitcoin into Solana after six months creates a taxable gain, though no euros reached your bank.
• Ignoring the EUR 256 cliff on rewards → EUR 300 of staking income is taxed in full at your personal rate.
• Not declaring losses → an unrecorded loss can't easily be used against next year's gains. At a 42% rate, a EUR 5,000 loss is worth EUR 2,100.

Frequently asked questions

Is crypto tax-free in Germany after one year?

Yes, for coins held privately. If more than one year passes between purchase and sale, swap or spend, the gain is not taxed, whatever the amount. The rule is in § 23(1) no. 2 EStG. Keep proof of each purchase date, because you need to show the holding period if the tax office asks.

How much crypto gain is tax-free in Germany in 2026?

Short-term gains are tax-free if all your private sale gains in the calendar year total less than EUR 1,000. This is a threshold, not an allowance: at EUR 1,000 or more, the full amount is taxable. Staking, lending and similar rewards have their own threshold: tax-free only below EUR 256 a year.

Do I pay tax when I swap one cryptocurrency for another?

Yes, if you held the coin you gave away for one year or less. A swap is a sale of the first coin at its euro market value on that day, and a purchase of the second at the same value. If you held the first coin for more than a year, the swap is tax-free.

Does the Finanzamt know about my crypto?

Increasingly, yes. Since 1 January 2026, EU crypto platforms must collect their users' transaction data under DAC8, which Germany implements through the KStTG. Data on 2026 activity is reported in 2027, and EU tax authorities exchange it by 30 September 2027. Declare short-term gains and rewards in your return.

Can I deduct my crypto losses from my salary?

No. Losses from private sale transactions can only offset gains from other private sale transactions, such as crypto or gold sold within the holding period. Leftover losses can be carried back one year or forward to later years, but still only against private sale gains. Declare them in the year they arise.

Is staking income taxed as a capital gain or as income?

As income. Staking, lending and liquidity rewards are other income under § 22 no. 3 EStG, valued in euros when received and taxed at your personal rate. They are tax-free only if the year's total is below EUR 256. The reward coins then start their own holding period for any later sale.

Related guides

• Capital gains tax in Germany: shares, funds and property
• Germany's tax system in one page
• How to stop being a German tax resident
• Tax fraud and voluntary disclosure rules in Germany
• Cryptocurrency taxes in Austria
• Taxation of cryptocurrencies in Malta
• All country tax guides

Sources

• Income Tax Act (EStG) – § 23 private sale transactions – Federal Ministry of Justice
• Income Tax Act (EStG) – § 22 other income – Federal Ministry of Justice
• Income Tax Act (EStG) – § 32a income tax tariff – Federal Ministry of Justice
• DAC8 – European Commission, Taxation and Customs Union
• DAC8 / CARF and the KStTG – Federal Central Tax Office (BZSt)
• Germany – Income determination – PwC Worldwide Tax Summaries (secondary)

This guide is general information, not personalised tax advice. See how we research and review.