What are the risks of failing to report crypto assets in Belgium?

• Risks associated with late declarations in Belgium
• Risk of incorrect declaration
• Risk of failure to declare
• Automatic taxation
• Immunize yourself against financial penalties

Perhaps you’ve thought about it in the past, not declaring your cryptocurrencies? After all, no one will notice… Let’s put an end to this question right from this introduction: not declaring your crypto is a bad idea. The tax authorities will be sure to ask you to explain any omissions in your tax declarations relating to your crypto accounts and operations. And watch out for the penalties! Let’s take a closer look at the risks of not declaring your crypto accounts in Belgium, as this article unfolds.

Risks associated with late declarations in Belgium

Fines

Delays in declaring your cryptocurrencies can cost you dearly. For a first offence, the fine can be as low as €50, but it can rise to €1250 for repeated or serious offences.

Accroissement

In addition to fines, the tax authorities may impose a surcharge on the tax due, ranging from 10% to 200%. This surcharge is calculated according to the delay and the seriousness of the offence, which can considerably increase the amount you owe.

Risk of incorrect declaration

The same penalties apply in the event of incorrect declaration of your cryptocurrency assets. Whether the error is intentional or not, the financial consequences remain severe, with fines identical to those applied for late reporting and surcharges that can also range from 10% to 200%.

Risk of failure to declare

Failure to declare your digital assets at all represents the highest risk when it comes to cryptocurrency tax management. This situation differs markedly from simple reporting delays or errors in terms of its potentially much more serious consequences.

Automatic taxation

In this case, the Belgian tax authorities reserve the right to establish the basis of your income from cryptocurrencies themselves, without taking into account deductible income. This means you could end up paying taxes on inflated income, with no way of optimizing your tax situation.

Immunize yourself against financial penalties

Declaring your cryptocurrency assets is not only a legal obligation, it’s also a practice that protects against significant financial penalties. Clarity in declaration, respect for deadlines and honesty in the presentation of your assets are essential to serenely navigate the Belgian cryptocurrency tax landscape.

Don’t forget that cryptocurrencies, while innovative and offering new investment opportunities, are subject to strict tax rules. Complying with these rules is essential to avoid unpleasant consequences.

Would you like to declare your crypto income in Belgium ? 1ᵉʳ cryptocurrency tax accounting software in Belgium and number 1 in France, Waltio supports holders of digital assets in their endeavors by offering personal guidance tailored to their situations. To take advantage of our services or for any information requests, you can visit our website or send us your specific requests directly by e-mail to support@waltio.com.

Disclaimer: Our tool and our team are dedicated to helping you with your calculations and tax obligations. Waltio does not provide financial or tax advice.