Italy Proposes 33% Exit Tax on Crypto Gains for Investors Moving Abroad

Highlights:

• Italy proposes a new exit tax on unrealized crypto gains for wealthy investors moving their tax residency abroad.
• The proposed tax could reach 33% for crypto gains and affect investors holding €800,000 in qualifying assets.
• The new rules could take effect in January 2027, but Italy’s parliament must approve the proposal first.

Italy is considering a new exit tax that could require cryptocurrency investors to pay taxes on profits even if they have not sold their assets. The proposal is part of the country’s 2027 budget and could affect people moving abroad with at least €800,000 in qualifying investments, including Bitcoin and other cryptocurrencies.

According to an October 31 report by Criptovaluta.it, the proposed tax could reach 33% for cryptocurrency gains. It would apply when eligible investors transfer their tax residency outside Italy. However, the measure has not received final parliamentary approval.

Under the draft rules, the exit tax would apply to individuals who have been Italian tax residents for at least six of the previous ten tax years. Their qualifying financial assets must also have a combined value of at least €800,000. The threshold covers eligible investments rather than cryptocurrency holdings alone.

The proposal includes Bitcoin and other crypto assets alongside stocks, securities and other financial investments. Government bonds would receive more favorable tax treatment. Investors who remain tax residents in Italy would not face the proposed exit tax simply for holding cryptocurrency. The new rules are expected to apply to qualifying transfers of tax residency starting January 1, 2027, if lawmakers approve them.

Oh, guarda, nella legge di bilancio 2027 c'è l'exit tax per le persone fisiche: 26% sul maturato in attività finanziarie di controvalore almeno pari a 800.000 euro. Chiaramente, i "super-ricchi", giusto? Questa è la prima pietra della patrimoniale, prendete nota. pic.twitter.com/280nUuTHAy

— Mario Seminerio (@Phastidio) October 31, 2026

How Would the 33% Tax on Unsold Bitcoin Gains Work?

The main change concerns unrealized capital gains. These are profits that exist on paper because an asset has increased in value, even though its owner has not sold it. Under the draft, authorities would calculate taxable gains using the difference between an asset’s purchase cost and its market value at the end of the tax year before the residency change takes effect.

For instance, an investor who bought Bitcoin at a lower price could owe tax on its increased value when leaving Italy, provided the required conditions are met. Criptovaluta.it reports that the rate could reach 33% for cryptocurrency gains. However, the proposed exit tax follows the tax rates applicable to different types of investments. The standard rate for many financial assets is 26%.

The tax would apply to eligible gains, not the entire €800,000 investment portfolio. The draft also provides payment options for some investors moving to European Union countries or other qualifying jurisdictions. They could defer part of the payment under specific conditions, including an advance payment and a guarantee.

Italy’s 2027 Budget Still Needs Parliamentary Approval

On October 28, Italy’s government approved its proposed budget for 2027. On 30th October, the bill was then sent to parliament for review. Tax adjustments for business and individual taxpayers and banks are part of the broader budget. The exit tax plan would also broaden provisions that already apply to some businesses to qualifying private investors.

But lawmakers still have time to change or drop the measure before they pass the final budget. The new rule, if it is approved, will impact high-value cryptocurrency investors who intend to shift their tax residency to outside of Italy in 2027. Final legislation will specify the precise tax requirements, assets subject to the tax and the time of payment.