Crypto Assets — VAT Finally Speaks

Crypto Assets — VAT Finally Speaks

For the first time, VATP040 gives concrete treatment for crypto asset transactions — a major update for fintech and payment platforms.

• Defines “virtual asset” and its use in taxable supplies.
• Clarifies that exchanging crypto for fiat may be exempt, but crypto-for-goods/services is taxable.
• Outlines how VAT applies to crypto mining, brokerage, and exchange services.
• Introduces record-keeping requirements for wallet-based transactions.

Conclusion

Crypto is no longer a grey zone — VAT now applies based on how tokens are used, not what they’re called.

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