Lawmakers propose Bitcoin reserves and crypto-based payroll for foreign workers.
Brazil has eliminated its long-standing tax break on cryptocurrency profits, introducing a flat 17.5% capital gains tax on all digital asset transactions. The measure, enacted through Provisional Measure 1303, took effect on June 12 and marks a significant shift in the country’s approach to crypto taxation.
Previously, Brazilian taxpayers were exempt from capital gains tax on crypto sales totalling up to 35,000 Brazilian reais (approximately $6,300) per month. Gains exceeding this value were taxed progressively, with rates ranging from 15% to 22.5%, depending on the volume of the transactions. This structure allowed smaller investors to operate tax-free and subjected large-scale traders to higher tax rates.
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Under the new regulation, all capital gains from digital asse…
