Latvia could allow tax payments in crypto from 2027, according to an adviser to the prime minister, who said the finance ministry has agreed but did not name a payment provider. Separately, a law passed on 15 October now taxes gains only when fiat withdrawals exceed deposits, rather than taxing every individual trade. It also introduces a one-off declaration with a 10% tax on the market value of crypto holdings at the end of 2026. Declarations are due between 1 April and 31 May 2027.
What it means: Latvia's change deserves attention more for its tax method than for paying taxes in crypto, which in practice will most likely involve instant conversion into euros. Taxing every crypto-to-crypto swap creates a heavy administrative burden for investors and authorities. The Latvian model simplifies the calculation by taxing only when money returns to the banking system. The one-off declaration is essentially a regularisation window for people who had not declared their holdings. The EU's DAC8 directive, applicable since 1 January 2026, requires providers to report customer transactions to tax authorities, so governments will soon have far more data. Greece still lacks a complete and clear framework for crypto taxation, and investors often rely on interpretations. The Latvian example shows one possible direction: simple rules, a transitional regime for older gains and use of DAC8 data. For anyone holding crypto on EU platforms, keeping proper records of transactions is now essential, regardless of when Greek legislation changes.
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