Taxes · 🇱🇻 Latvia
Crypto and tokenized asset taxes in Latvia
Crypto gains are taxed at 25.5% since 2025, with no holding period. Swapping one coin for another is not taxed until you cash out or spend. Crypto losses can only offset crypto gains.
Crypto
Gains
25.5% capital gains tax (since 2025; 20% in 2024); extra 3% on total annual income above EUR 200,000
Holding period
None.
Losses
Crypto losses can only offset crypto gains, netted across the year on form GD. Losses on other assets can offset crypto gains.
Also
A crypto-to-crypto swap is not taxed at the time; the gain arises when the coin received is sold for money or used to pay for goods or services. Cost basis is FIFO or weighted average (keep the method for at least 10 years). If the cost cannot be proven it is set to zero. Only crypto covered by MiCA counts as crypto for income tax.
Income and tokenized assets
Staking, lending, yield
Crypto you generate yourself (for example mining) or receive as payment for goods or services is business income, taxed at progressive rates (25.5% or 33% since 2025). VID guidance does not cover staking or lending rewards; its May 2026 update says tokens earned through other exchange transactions are most likely no longer crypto for income tax.
Tokenized stocks, bonds, funds
Tokens that qualify as financial instruments, fund units or deposits are excluded from the crypto rules and are taxed under the rules for those instruments. No specific guidance on tokenized stocks or tracker certificates.
Tokenized gold
No specific VID guidance on gold-backed tokens.
Filing
Tax year
Calendar year; capital gains declared quarterly (form DK) if a quarter's gains exceed EUR 1,000, otherwise by 15 January of the following year
Reporting
Form DK by the 15th of the month after the quarter (if quarterly capital gains exceed EUR 1,000) or by 15 January; form GD by 1 February to net losses. DAC8: Cabinet Regulation No. 751 (in force 1 January 2026); providers report 2026 data to VID by 30 June 2027.
Watch out
- Without proof of purchase the cost is zero and the whole sale price is taxed.
- Paying for goods or services with crypto is a taxable disposal.
- Crypto received as a gift from someone who is not close family is taxable above EUR 1,425.
- Non-residents' gains on publicly traded crypto are exempt in Latvia from 2025 to 2027.
Sources
- VID: income from selling crypto-assets (updated 13 May 2026) · vid.gov.lv
- VID: tax and accounting guidelines for crypto-assets (29 May 2026) · vid.gov.lv
- Cabinet Regulation No. 751 on crypto-asset information exchange (DAC8) · likumi.lv
Not confirmed
- Treatment of staking, lending and airdrops — no VID guidance found.
- Whether crypto losses can be carried forward to later years.
- Treatment of tokenized securities and gold-backed tokens — no specific guidance.
Researched 2026-11-09 for private individuals resident in Latvia. Information, not tax advice — rules change; check the tax authority before you file.