For an individual income from cryptoassets is tax-exempt, unless that individual trades cryptocurrencies and assets as a professional activity. In that case, according to an information note from Portuguese tax authorities from 2016, the individual will need to declare the income of the trading activity and pay taxes in Portugal, on the profit. Different from the US, Portugal doesn’t treat digital currency as property, and for that reason holding crypto assets is tax-exempt. However, if a person does crypto trading as a professional activity, the income is considered an income from work and subject to tax on the profit. In addition, for the moment and to apply for an ARI/Golden Visa permit, it is not possible to invest directly in cryptocurrency. The investments must be done in “fiat” by transferring funds from a bank account abroad into a bank account in Portugal, under the investor name. Afterward, the funds are used to pay for the investment in “fiat”.
