--- title: Taxation of income from cryptocurrency date: 2026-01-14T13:35:29Z modified: 2026-09-14T17:01:20Z permalink: "https://grow.ee/kruptorahas-saadud-tulu-makstamine-ja-deklareerimine/" type: post status: publish excerpt: Crypto assets are considered financial assets in Estonia, profits are declared and taxed. wpid: 15226 featured_image: "https://grow.ee/wp-content/uploads/2026/01/Kruptoraha-tulu-scaled.jpeg" timestamp: 2026-09-14T17:01:20Z tags: - Taxes - Accounting - laws --- ![](https://grow.ee/wp-content/uploads/2026/01/Kruptoraha-tulu-scaled.jpeg) Crypto assets are treated as financial assets in Estonia and profits from transactions by private individuals are declared and taxed with income tax 22% (TMS § 15 (1) and § 37 (1)). ## **1. Private individuals' transactions with crypto** **Taxable transactions** Trading in crypto assets, exchanging them for euros or another cryptocurrency. Payment for goods or services with cryptocurrency – if the purchase transaction results in income, i.e. the value of the goods or services received is greater than the purchase price of the virtual currency used. Mining income – cryptocurrency mining is a business and is treated as a production of goods for taxation purposes. Mined cryptocurrency is taxed upon its transfer, i.e. at the moment the cryptocurrency is converted into regular currency, exchanged for another cryptocurrency or taken into consumption. ### **Calculation and declaration** Profit is calculated on a transaction-by-transaction basis as the difference between the sale price and the purchase price of the cryptocurrency or as the difference between the price of the asset received upon exchange and the purchase price of the cryptocurrency being exchanged. Only those sales or exchange transactions from which a profit was made need to be declared. Loss-making transactions are not taken into account. Transactions are declared in the income tax return. Platform fees that are documented are also considered acquisition costs. If there have been a lot of transactions during the year, the MTA allows profitable transactions to be declared as a total amount. However, a readable transaction-based accounting must also be kept, on the basis of which the declared amount was formed. Upon request by the MTA, this will be submitted for verification of transactions. Staking and interest income are declared in tables 5.1 II or 8.1. Staking means locking cryptocurrencies in the blockchain to support network security and transaction confirmation. In return, the user earns rewards similar to interest income. ### **3. Comparison: regular rules vs. investment account** | **Transaction** | **Regular (without IK)** | **Investment account (from 2025)** | | --- | --- | --- | | Bitcoin buy-sell | You buy 20,000€, sell 25,000€ → profit 5,000€, taxed immediately | Taxed only when the withdrawal is made in euros | | Cryptocurrency exchange | Profit from the transaction is taxed | Transaction is exempt from income tax as long as it is held in the IK | | Loss-making exchange | Loss from the transaction is not taken into account | Loss can be offset against profits in the IK | | Staking/interest | Declared as income | May fall under the IK regime - taxation is deferred | ## **4. Cryptocurrency transactions of companies** Companies do not have to pay income tax on every crypto transaction, but the company is only taxed when the profit is distributed (e.g. as a dividend). Purchases, sales and mining made with cryptocurrency are recorded in [accounting](https://grow.ee/wp-content/uploads/wp-mfa-exports/page/raamatupidamisteenus.md), but income tax is paid only when the profit is distributed. Dividends are declared in Appendix 7 of the TSD form. The declaration is submitted by the 10th of each month. Dividends are not allowed if the company has not paid in its share capital or has not confirmed its profit. Individuals (without IK): each profitable crypto transaction is taxed with income tax 22%, losses cannot be taken into account and declaration is made in tables 6.3/8.3 of the income tax return. Individuals (through IK): from 2025, profits can be deferred, losses can be offset, income tax is paid only upon payment in euros, a service provider that meets the requirements of the regulation and IK declaration in box 6.5 are required. Companies: crypto transactions are recorded in accounting, taxed only when profits are distributed (e.g. dividend), declaration is made monthly in Appendix 7 of the TSD. If you need [tax advice](https://grow.ee/wp-content/uploads/wp-mfa-exports/page/maksunoustamine.md), feel free to contact us! ## Talk to our financial expert [ CONTACT US ](https://grow.ee/wp-content/uploads/wp-mfa-exports/page/vota-meiega-uhendust.md)