Brazil imposes a unified 17.5% tax rate on cryptocurrency profits, ending the tax exemption policy for small investors

ChainCatcher news, according to CoinDesk, Brazil has canceled its long-standing tax exemption policy on cryptocurrency gains. Under the new provisional law (Decree No. 1303), individual cryptocurrency profits will be uniformly taxed at a rate of 17.5%.

Previously, individuals were not required to pay taxes on cryptocurrency sales of up to 35,000 reais (approximately $6,300) per month. Before this change, gains exceeding that limit were subject to a progressive tax rate, with a maximum rate of 22.5% applicable to transaction amounts exceeding $5.4 million.