The European Commission has called on 12 European Union member states to fully implement new tax transparency rules for digital assets, signaling a tougher stance on crypto oversight. In its latest infringements package released in January, the commission announced it will send formal letters of notice to Belgium, Bulgaria, Czechia, Estonia, Greece, Spain, Cyprus, Luxembourg, Malta, the Netherlands, Poland and Portugal.
These countries have been given two months to respond and align national laws with the EU’s updated tax reporting framework for crypto-assets. Failure to comply could lead the commission to issue a reasoned opinion, a further step in the EU’s infringement procedure.
Crypto Tax Transparency and OECD Alignment
The tax directive expands existing EU rules on administrative cooperation, requiring crypto asset service providers to report specific user and transaction data to tax authorities. The objective is to address tax fraud, evasion and avoidance linked to digital assets, while adapting regulation to fast-evolving crypto markets. The framework closely follows standards developed by the Organization for Economic Cooperation and Development, aiming to harmonize reporting across jurisdictions.
Hungary Flagged Over MiCA Compliance
Separately, the commission also issued a formal notice to Hungary for failing to comply with the Markets in Crypto-Assets (MiCA) regulation. Amendments to Hungarian law reportedly led some crypto service providers to suspend or discontinue services related to exchange validation.
MiCA, adopted in 2023, is being rolled out in phases. Most crypto firms operating before December 2024 must comply with all requirements by July 1, unless national authorities impose shorter deadlines.
Disclaimer
This content is for informational purposes only and does not constitute financial, investment, or legal advice. Cryptocurrency trading involves risk and may result in financial loss.