Buying, selling, staking, airdrops, farming… crypto has a language of its own. And each transaction has a different consequence on your Spanish income tax return. Here is every crypto transaction explained in plain terms, with how it is taxed in Spain under the rules in force and the criteria set out by the Directorate-General for Taxation (DGT).
Quick index
| Transaction | Taxable? | Type of income |
|---|---|---|
| Buying | No | — |
| Selling | Yes | Capital gain/loss |
| Swap | Yes | Capital gain/loss |
| Staking | Yes | Investment income |
| Airdrop | Yes | Capital gain |
| Fork | Yes (on sale) | Capital gain |
| Mining | Yes | Business income |
| Lending | Yes | Investment income |
| Yield farming | Yes | Investment income |
| Liquidity pools | Yes | Investment income |
| NFTs | Yes | Capital gain |
| Paying with crypto | Yes | Capital gain/loss |
| Gifting | Yes | Gift tax |
| Inheritance | Yes | Inheritance tax |
Buying
What is it?
Acquiring crypto with fiat money (euros, dollars) through an exchange or platform.
Example
You buy 0.5 BTC on Binance for €15,000.
Is it taxable?
No. Buying crypto does not trigger a taxable event. There is nothing to report at the moment of purchase.
What you do have to do
- Keep the proof of purchase (date, quantity, price in euros)
- If you hold them on a foreign exchange and the balance exceeds €50,000 → file Modelo 721
- If you do not report them properly, you are exposed to penalties from the Spanish tax agency
Selling
What is it?
Selling crypto in exchange for fiat money (euros).
Example
You bought 1 ETH at €1,500. You sell it at €3,000. Gain: €1,500.
Is it taxable?
Yes. Under article 33 of the Spanish income tax act, the difference between the purchase price and the sale price is a capital gain (or loss). It is calculated with the FIFO method (First In, First Out). You can read our complete guide to the FIFO method.
How much you pay
| Taxable base | Rate |
|---|---|
| Up to €6,000 | 19% |
| €6,000 - €50,000 | 21% |
| €50,000 - €200,000 | 23% |
| €200,000 - €300,000 | 27% |
| Over €300,000 | 28% |
Worked example
A gain of €10,000:
- First €6,000 × 19% = €1,140
- Next €4,000 × 21% = €840
- Total: €1,980
Swap
What is it?
Exchanging one cryptocurrency for another. For instance, swapping BTC for ETH.
Example
You hold 1 BTC bought at €20,000. You swap it for 10 ETH when 1 BTC is worth €40,000.
Is it taxable?
Yes. Under binding ruling V0999-18 of the DGT, the Spanish tax agency treats a swap as a sale followed by a purchase. In this example, you have a gain of €20,000 (€40,000 - €20,000).
What many people do not realise
Swapping USDT for BTC is also a swap. Exchanging any crypto for another triggers a taxable event, even if you never touched euros.
Staking
What is it?
Locking your crypto on a blockchain network to help validate transactions. In return, you receive rewards in the form of new coins.
Example
You stake 32 ETH on Ethereum. You receive 1.5 ETH in rewards over the year.
Is it taxable?
Yes. Under the DGT criterion (ruling V1766-22), staking rewards count as investment income. They are taxed when you receive them, valued at the market price at that moment. We have a detailed guide on how staking is taxed in Spain.
How much you pay
The same bands as capital gains (19%-28%).
What to keep in mind
- Every reward you receive has an acquisition cost = its value in euros at the moment you receive it
- If you later sell those rewards, you are taxed again on the difference (as a capital gain)
Airdrop
What is it?
Receiving crypto for free, usually as a marketing move by a project. The tokens land straight in your wallet without you asking for them.
Example
A DeFi protocol sends 500 AIRDROP tokens to your wallet for having been an early user. Value at the moment of receipt: €2,000.
Is it taxable?
Yes. It counts as a capital gain. You must report the market value of the tokens at the moment you receive them.
Acquisition cost
The acquisition cost of an airdrop is zero. When you sell, the whole sale is a gain (less the value already reported when you received them).
Fork (hard fork)
What is it?
A blockchain upgrade that creates a new cryptocurrency. If you held the original, you receive the new one automatically.
Example
You held 1 BTC when the Bitcoin Cash fork happened in 2017. You received 1 BCH for free.
Is it taxable?
On receipt, no (the acquisition cost is €0). On sale, yes. The whole sale is a capital gain, because your cost was zero.
Mining
What is it?
Using computing equipment to solve cryptographic problems and validate transactions on a blockchain. In return, you receive crypto as a reward.
Example
You run a mining rig that produces 0.01 BTC a month.
Is it taxable?
Yes, and differently from everything else. Under the DGT (ruling V1069-19), the Spanish tax agency treats mining as a business activity.
What that entails
| Obligation | Detail |
|---|---|
| Registration for business tax (IAE) | Heading 831.9 or similar |
| Registration as self-employed (RETA) | Monthly self-employment contribution |
| VAT | Exempt (DGT criterion) |
| Income tax | Business income |
| Deductible expenses | Electricity, hardware, internet |
Lending
What is it?
Lending your crypto to a platform or to other users in exchange for interest. CeFi platforms such as Nexo, Celsius (now bankrupt) or BlockFi used to offer this service.
Example
You lend 10,000 USDT to a platform. You receive 5% a year: 500 USDT in interest.
Is it taxable?
Yes. The interest counts as investment income. It is taxed at the savings rates (19%-28%).
Yield farming
What is it?
A DeFi strategy that consists of moving your crypto between different protocols to squeeze out the highest possible return. The returns are paid in protocol tokens.
Example
You deposit ETH and USDC into a DeFi protocol. You receive reward tokens with a 15% APY.
Is it taxable?
Yes. The returns count as investment income. Every time you receive reward tokens, you are taxed on their value in euros at that moment.
Why it is hard to report
Yield farming is one of the hardest activities to report. Every move between protocols can amount to a swap, and rewards accrue constantly.
Liquidity pools
What is it?
Depositing a pair of cryptocurrencies (e.g. ETH/USDC) into a decentralised exchange (DEX) so that other users can trade between them. In return, you receive a share of the fees.
Example
You deposit 5 ETH + 10,000 USDC into Uniswap. You collect fees every time someone uses that pair.
Is it taxable?
Yes. There are two taxable moments:
| Moment | Tax treatment |
|---|---|
| On deposit (if a swap occurs) | Capital gain/loss |
| Fees received | Investment income |
| On withdrawal (if the ratio has shifted) | Capital gain/loss |
Impermanent loss
Impermanent loss happens when the ratio of the pair changes while your funds sit in the pool. That loss crystallises when you withdraw and can be offset for tax purposes.
Is your case a complicated one? We can help
If you use DeFi, liquidity pools or yield farming, working out the tax on your crypto gets messy fast. At colvence we go through every transaction and prepare your return.
Talk to us on WhatsApp — no strings attached.
NFTs
What is it?
A non-fungible token. It is a unique digital asset representing ownership of a digital item (art, music, collectibles and so on).
Example
You buy an NFT for 0.5 ETH and sell it for 2 ETH.
Is it taxable?
Yes. Buying and selling NFTs is taxed just like any other crypto: as a capital gain or loss.
Special case: creators
| Situation | Tax treatment |
|---|---|
| Buying and selling NFTs | Capital gain |
| Creating and selling NFTs | Business activity (like mining) |
| Royalties on resales | Business income |
Paying with crypto
What is it?
Using crypto to pay for goods or services. Buying a coffee, a car or a flight with Bitcoin.
Example
You bought 1 BTC at €10,000. You pay for a €2,000 laptop with 0.05 BTC (when 1 BTC is worth €40,000).
Is it taxable?
Yes. The Spanish tax agency treats it as a sale. If your 0.05 BTC cost you €500 (at the original price) and you “sell” them for €2,000, you have a gain of €1,500.
What many people do not realise
Every payment made in crypto is a taxable event. It makes no difference that you are buying a €3 coffee. Technically, you have to work out the gain or loss on those satoshis.
Gifting
What is it?
Giving crypto to another person without receiving anything in return.
Example
You gift 0.1 BTC to your brother.
Is it taxable?
Yes, for the person who receives it. Whoever receives the gift pays gift tax (Impuesto de Donaciones, which varies by region).
| Who | What they pay |
|---|---|
| Giver | Nothing (but must report the transaction) |
| Recipient | Gift tax |
Acquisition cost for the recipient
The recipient inherits the giver’s original acquisition cost. If they later sell, the gain is calculated from the original purchase price.
Inheritance
What is it?
Receiving crypto as an inheritance after the holder’s death.
Example
Your father dies and leaves 2 BTC on a Ledger.
Is it taxable?
Yes. The heir pays inheritance tax (Impuesto de Sucesiones, which varies by region and by degree of kinship).
The practical problem
If the deceased kept the keys on a Ledger and nobody knows them, the crypto is lost for good. Having a digital inheritance plan matters.
Tax summary table
| Transaction | Tax rate | When it is reported |
|---|---|---|
| Buying | Not taxable | — |
| Selling | 19%-28% | Income tax (Renta) |
| Swap | 19%-28% | Income tax (Renta) |
| Staking rewards | 19%-28% | Income tax (Renta) |
| Airdrops | 19%-28% | Income tax (Renta) |
| Forks | 19%-28% (on sale) | Income tax (Renta) |
| Mining | At your income tax band | Income tax + quarterly VAT |
| Lending | 19%-28% | Income tax (Renta) |
| Yield farming | 19%-28% | Income tax (Renta) |
| NFTs | 19%-28% | Income tax (Renta) |
| Paying with crypto | 19%-28% | Income tax (Renta) |
| Gifting | Varies by region | Gift tax |
| Inheritance | Varies by region | Inheritance tax |
Frequently asked questions
Do I have to report if I have only bought and never sold?
No, buying does not create a tax charge. But if you hold more than €50,000 on foreign exchanges, you must file Modelo 721.
Is swapping BTC for USDT taxable?
Yes. Any exchange between cryptocurrencies is a swap and creates a capital gain or loss.
How do I calculate the gain if I bought several times?
With the FIFO method (First In, First Out). The first coins you bought are the first ones “sold”. You cannot pick another method. We walk you through it in our FIFO method guide.
Are staking rewards taxed on receipt or on sale?
On receipt (as investment income) and again on sale if there is a gain (as a capital gain).
What if I do not know what I paid for my crypto?
You need to rebuild your history. Without a purchase price, the Spanish tax agency can treat the cost as zero, which means paying tax on the full sale value. If you have been the victim of a scam or have lost access to your crypto, see our guide on what to do if you have been scammed.
Need help reporting your crypto transactions?
Every transaction has its own tax nuances. At colvence we go through your history, work out every gain and loss and prepare your return.
Víctor Lázaro
Tax adviser, colvence.com
