Selling or exchanging crypto in Latvia is a taxable capital gain — and since January 1, 2026, EU exchanges report your transactions to tax authorities under DAC8. Here is how it works, in plain language, with every claim cited.
| Tax rate | 25.5% personal income tax on capital gains (unified capital income rate since Jan 1, 2025; previously 20%). An additional 3% applies to total annual income above €200,000.1 |
| What triggers tax | Disposing of crypto-assets — selling for euros, and exchanging one crypto-asset for another.2 |
| The gain | Disposal proceeds minus your documented acquisition cost. No documentation — no deduction: the whole proceeds can be treated as gain. This is the phantom-gain problem, in Latvian.2 |
| Declaring | Capital-gains declaration to the VID (Valsts ieņēmumu dienests) via EDS — quarterly by the 15th after quarter-end if quarterly capital income exceeds €1,000, otherwise annually by January 15.3 verify current thresholds with the VID |
| Who knows | From Jan 1, 2026, crypto-asset service providers report user transactions under DAC8; data is exchanged automatically between all EU tax authorities, including the VID.4 |
The VID will increasingly see what you sold. What it cannot see is what you paid — across the exchange that closed in 2022, the wallet you forgot, the bridge you used once. Under Latvian rules the burden of documenting acquisition cost is yours; undocumented cost means tax on money you never made.
That is exactly the gap ClearBasis closes: we rebuild your complete acquisition history from exchange files and on-chain records, match every transfer between your own wallets so moving coins is never taxed as selling, and attach evidence to every number.
The free scan shows your true gains vs. proceeds-only in 3 minutes. The Global Basis Report (from $99) is the full evidence-linked ledger — acquisition costs, disposal gains, EUR values with cited FX — the document you or your grāmatvedis declare from.
Run my free scanVID declaration formatting — your report's totals mapped to the capital-gains declaration fields, reviewed by a Latvian tax professional before we ship it. Run and save a free scan to join the list: you'll be emailed the day it opens, and demand decides how fast.
Start with the free scanYes — a disposal happens even when no euros are involved; the gain is measured at the market value at the moment of exchange. This is one of the most-missed rules, and it is exactly what a complete ledger reconstructs.
The blockchain records outlived the company. We rebuild acquisition history from on-chain data plus any exports you kept — that reconstruction is our specialty.
No — but only if you can show both sides were yours. Our transfer matching documents that with on-chain evidence, so a transfer is never mistaken for a sale.
This page's primary sources — the PIT law on likumi.lv, VID guidance, and the EU DAC8 texts — are monitored for changes. Confirmed factual updates publish with a new version stamp; substantive rule changes are verified by a professional before this page changes. Every change is public:
| Change log | Version |
|---|---|
| Capital income rate 20% → 25.5% (2025 tax reform) | lv-2025.1 |
| DAC8 reporting live; "who knows" section added | lv-2026.1 |
1. Likums "Par iedzīvotāju ienākuma nodokli" (PIT law, capital income rate from 2025) · 2. VID guidance on virtual currency / crypto-asset disposal · 3. VID: capital gains declaration procedure (DK forms, EDS) · 4. Council Directive (EU) 2023/2226 (DAC8), applicable from 1 Jan 2026. This guide is information, not tax advice; rules change — this page is versioned (lv-2026.1), re-reviewed annually, and the English master is canonical. For binding answers, consult the VID or a licensed Latvian tax advisor.