New Brazil crypto tax 2025
On June 12, 2025, Brazil introduced a sweeping new cryptocurrency tax law under Provisional Measure 1303.
It replaces the old progressive tax model with a flat 17.5% crypto tax on all capital gains — no matter how much is earned or where the assets are held. The policy ends the long-standing exemption that allowed individuals to sell up to 35,000 Brazilian reais (~$6,300) in crypto each month tax-free.
This new Brazil crypto tax 2025 applies across the board — whether your assets are held on local or offshore exchanges, in self-custody wallets or even across decentralized finance (DeFi), non-fungible tokens (NFTs) or staking platforms.
All digital asset activities now fall within scope. Tax calculations are made quarterly, and losses can be carried over for up to five previous quarters — a window that will be shortened in 2026.
Did you know? Brazil’s overall tax burden reached 32.32% of GDP in 2024, the highest in 15 years, creating strong fiscal motivation behind the comprehensive Brazil tax reform 2025, including the new crypto tax policy.
Previous crypto tax rules in Brazil
Until now, crypto capital gains in Brazil were taxed under a tiered regime.
Small trades enjoyed a generous exemption, and larger profits were taxed progressively:
Trades up to 35,000 reais/month were exempt from crypto tax — ideal for small investors and casual traders.Once that threshold was crossed, the following brackets applied:15% tax on gains up to 5 million reaisUp to 22.5% for gains exceeding 30 million reais (~$5.4 million).
This meant hobbyists typically paid nothing, medium-scale traders paid moderately, and only the largest investors faced top-tier taxation.
Crypto tax impact small investors — Crypto tax exemption scrapped
The most immediate consequence of the new crypto tax rules in Brazil is felt by everyday users. Casual traders who previously…
..
