EU One Step Closer to Adopting New Rules on Sharing Crypto Tax Data

DAC8 proposes that crypto asset service providers report client transactions to counter tax-related criminal activities such as tax evasion

article-image

symbiot/Shutterstock modified by Blockworks

share

European Union ambassadors unanimously support the eighth amendment (DAC8) to the Directive on Administrative Cooperation, as confirmed by Benjamin Angel of the European Commission.

Loading Tweet..

DAC8 proposes that crypto asset service providers report client transactions — both cross-border and domestic — in the hopes of countering tax-related criminal activities such as tax evasion.

Officials proposed the amendment in December of last year to address the fact that crypto assets were not included in the former framework.

“Trading on the crypto-market takes place without the involvement of classic financial institutions, such as banks, and without a central authority…The often high volatility of crypto-asset value does not make an accurate tax charge any easier,” which then makes it difficult for tax authorities to track transactions, the EU argued

Essentially, crypto asset service providers would make EU client transactions public to the tax authorities of the union’s respective member states.

With ambassador support, DAC8 could take effect before the Crypto-Asset Reporting Framework (CARF) is enacted in early 2026. 

Now that the EU ambassadors have supported DAC8, the Council of Economic and Financial Affairs will take a general approach before it is adopted. 

The EU recently passed the Markets in Crypto Assets regulation in April. It still awaits a formal council vote to finalize the regulation, which is expected on May 16. 

Though the framework will not be fully in effect until 2024, industry participants have praised the EU for its push to provide regulatory clarity.

The US has not received that same praise. In fact, US crypto companies, such as Coinbase, have claimed that the SEC is dragging its feet on regulatory clarity. Similarly, the US Chamber of Commerce has alleged that the SEC could be hurting innovation and economic growth.


Get the news in your inbox. Explore Blockworks newsletters:

Tags

Upcoming Events

Old Billingsgate

Mon - Wed, October 13 - 15, 2025

Blockworks’ Digital Asset Summit (DAS) will feature conversations between the builders, allocators, and legislators who will shape the trajectory of the digital asset ecosystem in the US and abroad.

Industry City | Brooklyn, NY

TUES - THURS, JUNE 24 - 26, 2025

Permissionless IV serves as the definitive gathering for crypto’s technical founders, developers, and builders to come together and create the future.If you’re ready to shape the future of crypto, Permissionless IV is where it happens.

Brooklyn, NY

SUN - MON, JUN. 22 - 23, 2025

Blockworks and Cracked Labs are teaming up for the third installment of the Permissionless Hackathon, happening June 22–23, 2025 in Brooklyn, NY. This is a 36-hour IRL builder sprint where developers, designers, and creatives ship real projects solving real problems across […]

recent research

Research Report Templates (1).jpg

Research

Jupiter has emerged as the undisputed liquidity backbone of Solana, commanding over 90% of spot DEX aggregation and 80% of perp trading volume. But behind the numbers lies a far more ambitious play: a cross-chain, vertically integrated super-app spanning swaps, synthetics, NFTs, memecoins, and launchpads. This report explores Jupiter’s rapid rise, the monetization upgrades reshaping its revenue profile, and the risks that could unwind its dominance, from token dilution to competition. With annualized revenues nearing $300M, the upside is undeniable, if it can navigate the turbulence.

article-image

Immutable has been building a game with Ubisoft that was slated to unveil in April. It may be a TCG.

article-image

Curve founder Michael Egorov is working on a new protocol designed to eliminate impermanent loss, rethink token emissions, and capture BTC-native yield

article-image

Mining outfits have gone bust in the wake of prior halvings. Not so this time around.

article-image

Zora’s announcement that its token is for “fun only” sparked a debate about the need for such tokens

article-image

In recent weeks, Helium has hit new all-time highs while passing major protocol milestones

article-image

Financial advisers in a January survey said equity ETFs were their top choice for gaining crypto exposure in 2025