Rumours rumours rumours. I always wonder how changes to big rules are all of a sudden there in the country, without that people didn't really hear that much about it.
This time I heard about a potential change in Netherlands which actually might change the whole game over here for crypto owners. The talk of the town is that per 2028 the unrealized capital gains rule will change significantly, and it ain't for the sweet.
Pixabay
At this moment there is also an unrealized gains taxing rule and it is on stocks and dividend it around 5.5% and next year it will be about 7%. Okay not sweet, but also not terrible.
In 2028 this will change to 36% (!!!!!) percent over unrealized gains on crypto, profits in housing and stonks. To me this sounds kind of weird as for instance in stonks and in crypto the whole idea is that buying and selling is the game on what you choose and the moment defines your risk.
And also...this is in unrealized gains. Not when you are selling, but when you are just owning and idling.
Examples!
Say in the beginning of 2028 you have 1 bitcoin at the beginning of the year worth of 108.000 and the price of bitcoin rises during the year to 150.000. You are not selling and are still keeping your bitcoin in your fancy wallet waiting for more rising of the price.
That means that in that year you have 42.000 dollar unrealized profits where you will pay 36% percent tax over. That means you will own the Dutch government 15.120 dollars for that rise of Bitcoin.
Say if Bitcoin is volatile and drops the year afterwards to the same starting price of 108.000, it is not like you get that 15.120 dollar back from the same government.
These 50% rises in Bitcoin are not something strange, this has happened in every cycle. But all of a sudden there is a crazy high price for the unrealized gains and you will loose 1/3 of the profit instantly. Ouch
And what about Hive?
With Hiving this might not even be any much better. Say I make 1000 Hive during that 2028 year and hopefully by that time Hive will be $1 per token, and rising to $2 per token throughout the year. Either this is taxed as work and income and has a rate of 19% 36% or 49%, dependent on what your salary next to this is.
Or these Hives count as speculative assets and you have to pay the 36% tax on the unrealized gains (even if I am just staking them and using them as a vote, not even cashing them out) which would be 1000x36%= $360 on tax paying while I am grinding my account.
Now these rules have already been postponed this year from 2027 to 2028 because this seemed unworkable to actually be implemented. At the moment we don't really have a government anymore since it dropped again, so I am curious if this actually will happen at that moment in 2028.
Because uhhhh....not so interesting anymore then?? Would that be the time for Dubai or Portugal or El Salvador for the crypto Dutchies? Curious on how this will evolve and will keep you all posted over the years.