Taxation of cryptocurrency sales in 2024 — the 2024 return will still follow the old rules
Currently, all cryptocurrency sales made during the year are taxed. The acquisition cost is deducted from the sale proceeds, and the profit is taxed at 15% or 23%.
Example: In February 2021, you bought bitcoin for CZK 30,000. In 2024, you sold it for CZK 95,000. -> In your 2024 income tax return, you report income of CZK 95,000 and related expenses of CZK 30,000. You therefore pay tax on the CZK 65,000 difference.
Taxation of cryptocurrency sales from 2025 — from the 2025 tax return onwards
From next year, cryptocurrency sales will be taxed similarly to share sales.
When you do not have to tax cryptocurrency income at all:
- When income from cryptocurrency sales is less than CZK 100,000 a year.
- When income from cryptocurrency sales exceeds CZK 100,000 a year, but you owned the cryptocurrency for more than 3 years
Exemption cannot be used where the cryptocurrency formed part of a self-employed person's business assets. Income from selling such cryptocurrency will always be taxed as business income.
A further restriction is an exemption ceiling: no more than CZK 40 million can be exempted per year. Be careful: proceeds from selling securities or ownership interests in companies also count towards this limit. This is also linked to the obligation to report every exempt receipt of income over CZK 5 million.
Example: In February 2021, you bought bitcoin for CZK 30,000. In 2025, you sold it for CZK 105,000. -> You held the cryptocurrency for more than 3 years, so this income is not taxed (provided you also meet the CZK 40 million exemption-ceiling condition).