Invezz 2025-12-24 09:23:47

Spain finalizes July 2026 MiCA deadline, confirms DAC8 tax reporting

Spain has officially extended its transitional period for crypto licensing under MiCA to 2026, when it also plans to begin enforcing DAC8 tax reporting rules. According to local media reports , Spanish authorities are preparing to overhaul the country’s crypto regulations next year by fully implementing the two European Union frameworks, MiCA and DAC8, which will reshape how digital assets are governed and taxed. The Markets in Crypto-Assets Regulation (MiCA) was developed to establish a harmonised legal framework for crypto businesses and has now been enforced across the European Union. MiCA deadline extension Spain is extending its transition period for crypto firms to the maximum allowed 18 months, targeting full adoption of the regulation by July 1, 2026. As a result, crypto-asset service providers (CASPs) that were registered with the Bank of Spain or operating legally before December 30, 2024, can continue to serve customers until this new date. Initially, back in October 2023, Spanish authorities agreed upon a plan to fast-track MiCA implementation by enforcing the rules from December 30, 2025, in a bid to position the country as a leader in digital finance regulation. However, this timeline came with major challenges, as it has created a backlog of MiCA license applications , which is an extensive process requiring over 100 pages of detailed information on operations, governance, and risk management systems. To prevent a cliff-edge scenario where many non-compliant firms would be forced to cease operations overnight, the Spanish government has revised its stance. Once in force, the framework would require CASPs to obtain full authorisation and comply with strict operational, capital, and security standards, including anti-money laundering and customer verification obligations. MiCA also introduces passporting rights, wherein a CASP licensed in one EU country would be able to offer their services in other member states without having to secure separate national authorizations. Earlier this month, Spain’s national securities regulator, the Comisión Nacional del Mercado de Valores, outlined its MiCA enforcement roadmap via a dedicated Q&A, highlighting various procedures such as the application process, transitional rules, and how cross-border services will be handled. Spain to adopt DAC8 rules Spain will also tighten its approach to crypto taxation starting January 1, 2026, under the DAC8 framework, which is the eighth amendment to the existing Directive on Administrative Cooperation and specifically extends EU tax transparency rules to cover crypto-assets and e-money. DAC8 has been designed to increase oversight and curb tax fraud and evasion by allowing tax administrations to access the necessary financial information on crypto users. Under this framework, CASPs that have EU-resident clients would be required to collect specific information about their users, such as names, addresses, and tax identification numbers, and report details of reportable transactions to the relevant tax authorities. The framework also allows various national authorities to automatically exchange this information with the tax authorities of the user’s country of residence, ensuring a unified view of crypto activity across the EU. The post Spain finalizes July 2026 MiCA deadline, confirms DAC8 tax reporting appeared first on Invezz