The Dutch government has been pushing a plan to introduce a capital gains tax on realised returns on investment assets from 2028, blockchain outlet Bitcoin Magazine reported on Sept. 30.

If the bill is approved, investment gains including bitcoin will be taxed based on profits realised at the time of sale, rather than valuation gains while holding the asset or assumed returns.

The proposal is drawing attention because it could change how cryptocurrencies are taxed in the Netherlands. The Netherlands currently taxes bitcoin and digital assets based not on actual returns but on an assumed annual return of 4 percent. It has applied the same standard regardless of how much an investor actually earned.

The Dutch cabinet formalised the new tax system in a letter sent to the lower house on Sept. 29. The letter laid out a shift to taxing investments based on realised returns, rather than unrealised gains or estimated income. The cabinet said, "The Netherlands' ability to generate income in its economy requires asset taxation that promotes investment."

The start date may differ by asset class. The cabinet said it would apply the new system to most financial products from 2028 and shift the remaining assets 2 years later. The letter did not make clear whether digital assets would be included from 2028 or applied from 2030.

The measure also ties into a broader tightening of cryptocurrency tax regulation across Europe. Under the European Union's DAC8 directive from January, cryptocurrency exchanges have been required to collect detailed information on users and transaction histories and report it to national tax authorities. It extends to cryptocurrency transactions the reporting system applied to ordinary bank accounts.

Tax standards across Europe are not fully aligned. Germany still exempts cryptocurrencies held for more than 1 year, and Portugal has the same exception for holdings of more than 365 days. If the Netherlands moves to a realised capital gains tax system, it would redesign investors' burdens on a different basis from the existing assumed-return taxation.

Key issues going forward are whether the bill passes and the specific start date for digital assets. For bitcoin investors, the central point is that it could be a structure that defers taxation until an actual sale. The market impact could vary depending on which digital assets the authorities include in the category of financial products, and from when.