Do I have to declare and pay tax on gains from cryptocurrencies?
Yes — crypto gains are no longer a grey zone; since 1 January 2024 they are taxable. The myth going around is that crypto is untaxed in Albania or that “nobody knows”. Law no. 29/2023 on income tax brings gains from virtual currencies into tax: when they are not part of a commercial activity, they are treated as investment income and taxed at 15%. The tax base is the difference between the sale price and the purchase price — the capital gain, not the whole amount. When trading is part of a business, the income is treated as business income. The regulatory framework comes from Law no. 66/2020 on financial markets based on distributed-ledger technology, supervised by the Financial Supervisory Authority (AMF). Note: the exact calculation method was left to a directive of the Ministry of Finance, so some implementing details remain unclear — but the principle of the 15% tax is in force.
📋 The rules
- Law no. 29/2023 taxes the gain from cryptocurrencies; when it is not a business activity, it is investment income at a rate of 15%.
- The tax base is the capital gain: the difference between the sale price and the purchase price, not the full transaction amount.
- When buying and selling crypto is part of a commercial activity, the income is treated as business income, not occasional investment.
- The regulatory framework comes from Law no. 66/2020 on financial markets based on blockchain technology, supervised by the AMF.
- The detailed method of calculation and declaration was left to a directive of the Ministry of Finance, so some implementing steps remain unclear.
🔓 Exceptions
- If you make no gain — selling at the same price or at a loss — there is no taxable capital gain from that transaction.
- When crypto is part of your registered business, the business tax rules apply, which differ from the 15% occasional-investment rate.
- Dividends have a separate tax rate and are not included in the 15% investment-income rate.
⚠️ Penalties & fines
The real risk is treating crypto as invisible. If you make a gain and do not declare it, the tax administration can claim the unpaid tax plus late interest and fines for non-declaration. Banks and platforms increasingly report money movements, so large inflows from selling crypto can raise questions about the source of funds and money laundering. For large undocumented sums, the cost is not just the 15% tax but also the audit, frozen accounts and the burden of proving the origin. Since the calculation method still awaits a directive, keeping records of the purchase and sale price is your best protection. Declaring the real gain is far cheaper than explaining it late in front of an inspector.
📎 Official sources
- QBZ · Law no. 29/2023 on income tax →
- Tax Administration · investment income and declaration →
- AMF · financial markets and virtual assets →
❓ Frequently asked
Is the gain from selling cryptocurrencies taxed in Albania?
Yes, since 1 January 2024, under Law 29/2023, crypto gains are taxed as investment income at 15% when not part of a business. The myth that crypto stays untaxed no longer holds, even if some implementing details still await a directive.
On what amount is the tax calculated?
The tax is calculated on the capital gain, that is on the difference between the sale price and the purchase price, not on the full transaction amount. That is why keeping records of when you bought and when you sold is essential to prove the real gain.
What if I trade crypto regularly as an activity?
When buying and selling are part of a commercial activity, the income is treated as business income rather than occasional investment at 15%. In that case the business tax rules apply, so the exact classification changes the amount you owe.
Who supervises the crypto sector in Albania?
The regulatory framework comes from Law 66/2020 on financial markets based on blockchain technology, supervised by the Financial Supervisory Authority. Meanwhile the tax side is administered by the tax authority under Law 29/2023 on income tax.
What do I risk if I do not declare?
The tax administration can claim the unpaid tax together with late interest and fines for non-declaration, especially when large sums enter your bank. On top of that, undocumented origin of funds can trigger checks on the source of the money and laundering.
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