Germany Crypto Tax Guide 2026

How Do I Calculate Crypto Gains and Losses for my Tax Return? (Calculation Example)

Crypto gains are calculated as the difference between the acquisition costs and the sale price. If the result is positive, you have made a gain. If the result is negative, you have incurred a loss.

<figure class="block-table">
<table>
<tr><th>Example</th><th>Acquisition Costs</th><th>Sale Price</th><th>Result</th><th>Tax Status</th></tr>
<tr><td>Calculation Example 1</td><td>€1,400</td><td>€2,200</td><td>+€800 Gain</td><td>Taxable if holding period &lt; 1 year and exemption limit exceeded</td></tr>
<tr><td>Calculation Example 2</td><td>€1,400</td><td>€1,200</td><td>-€200 Loss</td><td></td></tr>
</table>
</figure>

There are various methods for determining the acquisition costs of cryptocurrencies, known as cost flow assumptions. These are relevant if you purchased coins at different times and prices.

In Germany, the FiFo method (First-In, First-Out) is typically used to calculate crypto taxes. Under this method, the coins purchased first are considered to be the first ones sold.

Keep more money in your account by legally optimizing your crypto taxes. You can claim crypto losses for tax purposes and offset them against gains – this is known as Tax Loss Harvesting. Unused losses can be carried forward indefinitely to future years or carried back to the immediately preceding tax year.

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</svg></div><div class="label"><span class="text_bold text-color-blue">Tip</span></div></div><div class="label">Tools like the <a href="/crypto-tax-optimization"><strong>Crypto Tax Optimizer</strong></a> included in <a href="/blockpit-plus"><strong>Blockpit Plus</strong></a> help you discover hidden optimization opportunities in your portfolio and save taxes efficiently. Our users save an average of <strong>€2,395</strong>.</div></div>

How Do I Calculate Crypto Income for Tax Returns?

Crypto income (e.g., from staking, lending, mining, or bounties) is taxed in Germany at the time of receipt. The market value in Euros on the day of receipt is the decisive factor. This amount is classified as other income under § 22 No. 3 EStG and is subject to your personal income tax rate (0–45%).

Additionally, an annual exemption limit of €256 applies to other services. If this limit is exceeded, the entire amount becomes taxable.

If you sell the received coins later within one year and at a profit, additional crypto tax applies as part of a private disposal transaction (§ 23 EStG).

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 <path d="M12.75 20.6357C14.1768 19.4573 16.005 18.75 18 18.75C18.9656 18.75 19.8909 18.9156 20.7501 19.2192C20.9796 19.3004 21.2343 19.265 21.433 19.1245C21.6318 18.9839 21.75 18.7556 21.75 18.5121V4.26212C21.75 3.94425 21.5496 3.66091 21.2499 3.55499C20.2324 3.19535 19.1382 3 18 3C16.0675 3 14.2655 3.56279 12.75 4.53286V20.6357Z" fill="#ff9800"></path>
</svg>
</div><div class="label"><span class="text_bold text-color-blue">Definition</span></div></div><div class="label"><strong>Exclusive - Our experience from 1,000,000+ tax reports:</strong> Staking is increasingly becoming the standard: The share of German Blockpit users with staking increased from <strong>33% (2024) to around 40% (2025)</strong> – while the average reward in the same period fell from <strong>€218 to about €100 per year</strong></div></div>

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How Do I File a Tax Return for Cryptocurrencies?

Filing your cryptocurrency tax return is part of your annual income tax return submitted to your local tax office. You can submit the income tax return using the ESt 1 A form, either on paper with official forms or electronically via the Elster Portal.

Please note: Even if you are not normally required to submit a tax return, taxable gains and income from cryptocurrencies must be reported to the tax office.

For the 2025 tax year, there are specific sections in the Anlage SO form on page 2 dedicated to "Kryptowerte".

Line 45: Enter 1 in box 108 if you earned income from the sale of cryptocurrencies. Box 109 is for spouses.

Line 46: Enter “cryptocurrencies” or the specific name of a cryptocurrency. If you carried out multiple different transactions, you can refer to the Blockpit tax report, which you can submit together with your tax return.

Line 47: Enter the date of acquisition and disposal. If there were multiple transactions, you can also simply enter the full period from 01/01/2023 to 31/12/2023.

Line 48: Enter the total disposal proceeds of all cryptocurrencies sold.

Line 49: Enter the total acquisition costs of all cryptocurrencies sold.

Line 50: Enter all expenses related to the purchase or sale, such as transaction fees.

Blockpit automatically deducts transaction fees from the gain, so they should not be entered again here.

Line 51: Subtract the acquisition costs (line 49) and expenses (line 50) from the disposal proceeds (line 48). The result is your gain or loss.

Line 58: Enter the amount from line 51 in box 114. Box 115 is for spouses.

Line 59: Gains or losses from other disposals, such as the sale of art or gold, must be entered in box 116. Box 117 is for spouses.

Entering crypto income in the tax return

Crypto income generated from staking, mining, lending, airdrops, or other activities must also be declared in Form ESt 1 A, in Annex SO. On page 1 of Annex SO, you will find the section “Leistungen - Angaben zu Tätigkeiten im Zusammenhang mit Kryptowerten”.

Line 14: Enter a 1 in box 162 if you earned income from cryptocurrencies.

Line 15: On the left, specify the type of income and enter the amount on the right. If you have multiple types of crypto income, you can refer to your Blockpit tax report here and submit it as an attachment. Blockpit automatically totals all income in line 15.

Lines 16 + 17: Enter additional types of income here, if applicable.

Line 18: Add up all amounts from lines 15, 16, and 17.

Line 19: Enter any deductible expenses related to earning this income.

‍Line 20: Enter the calculated income (line 18 minus line 19).

Crypto derivatives in the tax return

If you earned income from crypto derivatives (futures), these must be declared in Annex KAP for investment income.

Lines 19 and 20: Enter profits from derivative transactions here.

Line 22: Enter losses from derivative transactions here.

When Is the Tax Return Due?

The deadline for the 2025 tax return is July 31, 2026. This applies to both online and paper submissions.

If you have your tax return prepared by tax advisors, the deadline extends to March 1, 2027.

Tax advisors also appreciate Blockpit's tax reports! They save a lot of work—and save you money!

When Do Crypto Taxes Apply?

<figure class="block-table">
<table>
<tr><th>Transaction</th><th>Tax</th><th>Brief Info</th></tr>
<tr><td>Sale for Fiat</td><td>Income Tax 0–45%</td><td>Taxable if held &lt; 1 year + &gt; €999.99 gain/year (exemption limit)</td></tr>
<tr><td>Paying with Crypto</td><td>Income Tax 0–45%</td><td>Treated as a sale at market value</td></tr>
<tr><td>Crypto Swap (BTC→ETH)</td><td>Income Tax 0–45%</td><td>Taxable if held &lt; 1 year + &gt; €999.99 gain/year (exemption limit)</td></tr>
<tr><td>Stablecoin Trading</td><td>Income Tax 0–45%</td><td>No special rules; same as regular coins</td></tr>
<tr><td>Airdrop</td><td>€0 at receipt</td><td>Acquisition cost €0; sale within &lt; 1 year is taxable</td></tr>
<tr><td>BEST Rewards</td><td>€0 at receipt</td><td>Acquisition cost €0; sale within &lt; 1 year is taxable</td></tr>
<tr><td>Bounties</td><td>0–45% at receipt</td><td>Consideration for service → immediately taxable; sale within &lt; 1 year also taxable</td></tr>
<tr><td>NFTs</td><td>Income Tax 0–45%</td><td>Same as crypto swap; &gt; 1 year tax-free</td></tr>
<tr><td>DeFi Rewards</td><td>Income Tax 0–45%</td><td>Receipt is taxable; €256 exemption limit; sale &lt; 1 year taxable</td></tr>
<tr><td>Staking</td><td>Income Tax 0–45%</td><td>Receipt is taxable; €256 exemption limit; sale &lt; 1 year taxable</td></tr>
<tr><td>Lending</td><td>Income Tax 0–45%</td><td>Receipt is taxable; €256 exemption limit; sale &lt; 1 year taxable</td></tr>
<tr><td>Mining (private)</td><td>Income Tax 0–45%</td><td>Receipt is taxable; €256 exemption limit; sale &lt; 1 year taxable</td></tr>
<tr><td>ICO / IEO</td><td>Income Tax 0–45%</td><td>Taxable if held &lt; 1 year + &gt; €999.99 gain/year (exemption limit)</td></tr>
<tr><td>Margin Trading</td><td>Capital Gains Tax 25%</td><td>Derivative transaction; no holding period; if crypto is delivered, potentially private disposal transaction</td></tr>
<tr><td>Futures</td><td>Capital Gains Tax 25%</td><td>Derivative transaction; no holding period; if crypto is delivered, potentially private disposal transaction</td></tr>
<tr><td>Wrapping</td><td>Income Tax 0–45%</td><td>According to prevailing view: tax-relevant if profit is made</td></tr>
</table>
</figure>

What is Tax-Free?

<figure class="block-table">
<table>
<tr><th>Transaction</th><th>Tax Status</th><th>Brief Info</th></tr>
<tr><td>Purchase with Fiat (e.g., EUR)</td><td>Tax-free</td><td>Mere acquisition – no taxable event</td></tr>
<tr><td>Transfers between own Wallets/Exchanges</td><td>Tax-free</td><td>Movement between own accounts only; ensure clear documentation</td></tr>
<tr><td>Gifts (up to €20,000/year)</td><td>Tax-free</td><td>Spouses: €500,000; 10-year period; holding period transfers to the recipient</td></tr>
<tr><td>Donations</td><td>Tax-free</td><td>No taxation</td></tr>
<tr><td>True Crypto Swap (Project-internal)</td><td>Tax-neutral</td><td>Not a taxable exchange as defined by § 23 EStG</td></tr>
<tr><td>Hard/Soft Fork</td><td>Tax-free</td><td>Original asset remains unchanged; new coins usually have €0 acquisition cost</td></tr>
<tr><td>Exchange/Gas Fees</td><td>Tax-deductible</td><td>Can be claimed as expenses and offset against gains</td></tr>
<tr><td>Cashback (Crypto)</td><td>Potentially tax-free</td><td>Treated as a discount; usually not relevant for income tax; legally debated; potentially "other income"</td></tr>
</table>
</figure>

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