Italy’s Planned Capital Gains Tax on Crypto Investments Is Likely to Be Cut: Reuters

Italy is set to trim its planned tax increase on crypto capital gains, Reuters reported on Tuesday.

Two months ago, the government was intent on raising the tax to 42% from 26% by the end of December.

“The tax increase will be significantly reduced during the parliamentary work,” lawmakers Giulio Centemero and Federico Freni, a junior minister at the Treasury, said in a statement according to Reuters.

The decision to increase the capital gains tax was inspired by the rising popularity of investments in crypto, especially bitcoin, which climbed above $100,000 last week. The “phenomenon is spreading,” Deputy Finance Minister Maurizio Leo told Bloomberg in October after announcing the news.

CoinDesk reached out to Centemero and Freni for a comment.