Brazil Crypto Tax 2025: 17.5% Flat Rate Explained

Brazil rolled out a Brazil cryptocurrency tax of 17.5% on every crypto profit starting June 12, 2025. Whether you’re a hobbyist trader or a professional investor, the new rules change how you calculate, report, and pay tax on digital assets. Below you’ll find everything you need to stay compliant, avoid penalties, and keep more of your earnings.

What the 17.5% Flat Rate Means

Brazilian cryptocurrency tax is a flat capital‑gains levy applied to all cryptocurrency profits, regardless of holding period or transaction size. The rate replaces the patchwork of exemptions that existed before June 2025. Every gain from selling crypto for reais, swapping one token for another, staking rewards, or DeFi income is taxed at the same 17.5%.

There is no tiered structure-short‑term and long‑term gains are treated identically. The flat rate simplifies calculations but also removes the possibility of lower taxes for assets held over a year, a benefit that Germany still offers.

Who Must Report and When

All individuals, companies, and financial institutions that move crypto worth more than BRL5,000 in a month must file a report with the Receita Federal do Brasil (RFB). The fiscal year matches the calendar year (Jan1-Dec31) and the filing deadline is the last business day of April the following year.

• 2025 tax year - deadline April302026
• Report gains, losses, and any crypto‑derived income via the eCac portal
• Failure to file or incorrect data can trigger fines up to 150% of the tax owed

Even if your net result is a loss, you still need to disclose the activity, because the RFB cross‑checks data across exchanges.

How to Calculate Your Tax Liability

1. Gather every transaction above the BRL5,000 monthly threshold from all wallets and exchanges.
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2. Convert each transaction’s fiat value using the official exchange rate on the day of the operation (the rate published by the Central Bank of Brazil).
3. Subtract the cost basis (what you paid in reais) from the sale proceeds. The difference is the taxable gain.
4. Apply the 17.5% flat rate to the total gain for the fiscal year.
5. Enter the result in the "Rendimentos Sujeitos à Tributação Exclusiva/Definitiva" section of the eCac form.

Tools like Koinly (a crypto‑tax calculator) and Kraken’s built‑in reporting feature now include Brazil‑specific templates to automate steps 1‑3.

Key Regulatory Frameworks

The tax regime sits on top of several laws that shape Brazil’s digital‑asset landscape:

• Virtual Assets Act (Law14,478/2022) - establishes the Central Bank of Brazil (BCB) as the primary regulator for Virtual Asset Service Providers (VASPs).
• Securities and Exchange Commission of Brazil (CVM) - oversees tokens classified as securities.
• Financial Activities Control Council (COAF) - handles anti‑money‑laundering reporting for VASPs.

Understanding which body governs your activity helps you know where to file compliance documents besides taxes.

Comparison With Other Jurisdictions

Brazil lands in the middle of the global spectrum: more punitive than Germany’s long‑term exemption but gentler than Portugal’s short‑term surcharge.

Compliance Checklist for Brazilian Crypto Investors

• Record every transaction > BRL5,000/month - include exchange, wallet address, date, and fiat value.
• Keep original invoices or receipts for purchases, mining, staking, or DeFi yields.
• Export CSV reports from each platform (Binance, Kraken, local exchanges) monthly.
• Use a tax‑calculation tool that supports the RFB’s official exchange rate.
• File the eCac declaration by the April deadline - double‑check the “Rendimentos Sujeitos à Tributação Exclusiva/Definitiva” field.
• Pay the calculated 17.5% tax via DARF or through the eCac payment gateway.
• Retain all documentation for at least five years - the RFB may audit retrospectively.

Practical Tips & Common Pitfalls

Tip: Consolidate all exchange accounts into one spreadsheet; the RFB treats each platform separately, so missing a small Binance trade can trigger a penalty.

Pitfall: Assuming that crypto‑to‑crypto swaps are tax‑free. They generate a taxable event because each swap is deemed a sale of the first asset and acquisition of the second.

Tip: If you earn staking rewards, treat them as ordinary income at the time of receipt and then as a cost basis for any later sale.

Pitfall: Forgetting to report DeFi yields from liquidity pools. The RFB’s guidance is vague, but auditors have started requesting detailed logs.

Professional tax advisors recommend setting up a dedicated crypto accounting software (e.g., Koinly, CoinTracker) before the tax year ends. The sooner you automate, the less you’ll scramble in April.

Future Outlook

Brazil’s Central Bank is piloting Drex, a digital real that could coexist with private cryptocurrencies. If Drex gains traction, the tax framework may evolve to include hybrid transactions, so staying updated on BCB announcements is wise.

Analysts predict that other Latin American nations will adopt a similar flat‑rate model, potentially creating a regional standard. For now, the 17.5% rate is the rule of the game in Brazil.