DAC8: New EU Crypto Reporting Rules in Force from January 2026
Everything investors, crypto platforms, and tax advisors need to know about the EU’s DAC8 Directive — mandatory crypto-asset reporting, Italy’s implementation, key deadlines, and what changes for you from 1 January 2026.
From 1 January 2026, every crypto exchange, broker, custodial wallet, and digital asset platform serving EU users must collect, verify, and automatically report detailed transaction data to EU tax authorities. This is the DAC8 Directive — the most significant shift in crypto tax transparency since the asset class emerged — and it is now law.
Italy has completed its transposition of DAC8 through Law Decree 194/2025, fully aligned with the EU framework and with no exemptions or derogations. If you hold, trade, or earn income from crypto-assets and are a tax resident in Italy or any EU Member State, your financial information will be exchanged automatically between tax authorities starting from 30 September 2027 (for the 2026 reporting year).
- What is DAC8? Background and Legal Basis
- Key Numbers at a Glance
- DAC8 Timeline: Key Dates
- What Crypto Assets Are Covered?
- Who Must Report: RCASPs Explained
- What Information Must Be Reported?
- DAC8 in Italy: Implementation & Penalties
- Before vs After DAC8: What Changes
- Impact on Crypto Investors
- Compliance Checklist for Platforms
- FAQ
1. What is DAC8? Background and Legal Basis
DAC8 is the eighth amendment to the EU Directive on Administrative Cooperation in taxation (DAC — Directive 2011/16/EU). It was adopted by the EU Council on 17 October 2023 and published in the Official Journal on 24 October 2023 as Council Directive (EU) 2023/2226.
The core objective is to close the tax transparency gap created by crypto-assets: because of their decentralised, borderless nature, crypto-asset income and gains have historically been difficult for tax authorities to track and tax. DAC8 solves this by imposing mandatory, standardised reporting obligations on crypto-asset service providers — aligned with the OECD’s global Crypto-Asset Reporting Framework (CARF).
From 1 January 2026, crypto companies must report who their EU users are and what transactions they make to national tax authorities. That data is then automatically shared between all EU Member States — meaning Italian tax authorities will receive detailed crypto transaction data on Italian residents, even if they use a foreign exchange.
The goal: no more “invisible” crypto income. Tax authorities across the EU will have the same visibility into crypto assets as they do into bank accounts under CRS.
2. Key Numbers at a Glance
3. DAC8 Timeline: Key Dates
-
📋17 October 2023
DAC8 Adopted by EU Council
Council Directive (EU) 2023/2226 published in the EU Official Journal. EU Member States given until 31 December 2025 to transpose into national law. -
🇮🇹December 2025
Italy Completes Transposition — Law Decree 194/2025
Italy finalises legislative transposition via Law Decree 194/2025. Italian provisions fully aligned with DAC8 — no exemptions, no derogations. Penalties set at €1,500–€15,000 for reporting failures. -
🚀1 January 2026
DAC8 Enters Into Force — Data Collection Begins
All Reporting Crypto-Asset Service Providers (RCASPs) must begin collecting and recording data on EU-resident users and their transactions. The first full reporting period covers calendar year 2026. -
📤30 June 2027
Italy: RCASPs Submit First Report to Agenzia delle Entrate
Italy’s domestic deadline: reporting entities must submit their 2026 data to the Italian Revenue Agency by 30 June of the year following the reporting period. -
🔄30 September 2027
First Automatic Exchange Between EU Member States
Tax authorities exchange crypto transaction data on non-resident users with the EU country of their tax residence. Italian tax authorities receive data on Italian residents who used non-Italian exchanges throughout 2026.
4. What Crypto Assets Are Covered?
DAC8 builds on the definitions established in the Markets in Crypto-Assets Regulation (MiCA — Regulation EU 2023/1114) and extends coverage broadly. The directive intentionally casts a wide net to future-proof the rules.
Cryptocurrencies
Bitcoin, Ethereum, and all major cryptocurrencies used for investment or payment purposes. ✔ In scope
Stablecoins
USDT, USDC, DAI and all asset-referenced tokens and e-money tokens. ✔ In scope
NFTs (certain)
Non-fungible tokens used for payment or investment purposes are included. NFTs used purely as collectibles may be excluded — case by case. ⚠ Partial scope
CBDC
Central Bank Digital Currencies issued in a digital form. ✔ In scope
DeFi / Decentralised Tokens
Crypto-assets issued in a decentralised manner are explicitly included, even without a central issuer. ✔ In scope
Excluded Assets
Loyalty points, in-game assets, and closed-loop tokens not usable outside a specific platform. ❌ Out of scope
What transactions are reportable?
Reportable transactions include:
- Crypto-to-fiat exchanges (selling BTC for EUR)
- Crypto-to-crypto exchanges (swapping ETH for USDT)
- Transfers of crypto-assets (sending crypto to external wallets)
- Retail payment transactions where crypto is used to pay for goods/services exceeding USD 50,000
DAC8 focuses on exchanges and transfers via service providers. Pure staking rewards received directly from a protocol (without an RCASP intermediary) are not directly within DAC8’s reporting scope — but remain taxable income under Italian domestic rules. RCASPs offering staking-as-a-service must report distributions to users.
Lending platforms and DeFi aggregators operating as crypto-asset operators (non-MiCA) fall within scope as Crypto-Asset Operators.
5. Who Must Report: RCASPs Explained
DAC8 applies to Reporting Crypto-Asset Service Providers (RCASPs) — a category that covers:
- Crypto exchanges (centralised: Coinbase, Binance, Kraken, Bitpanda, and all EU-licensed exchanges)
- Crypto brokers and dealers that execute orders on behalf of clients
- Custodial wallet providers that hold private keys on behalf of users
- Crypto-Asset Operators — service providers not covered by MiCA but providing crypto services to EU users (e.g. certain DeFi platforms, OTC desks)
- Non-EU firms that serve EU tax-resident users — must register in one EU Member State and report there
- Individuals transacting on their own behalf (no service provider role)
- Purely decentralised protocols with no identifiable service provider
- Businesses that hold crypto assets but do not facilitate transactions for third-party users
⚠️ Note: even if a platform is not directly subject to DAC8 reporting, the investor’s tax obligations on their gains remain unchanged under Italian domestic law.
6. What Information Must Be Reported?
| Category | Data Points Required |
|---|---|
| Platform Data | Legal name, country of residence/registration, licence or MiCA authorisation details |
| User Identification | Full legal name, address, date of birth, Tax Identification Number (TIN) for each EU-resident user |
| Jurisdiction of Tax Residence | EU Member State(s) where the user is tax resident — verified via self-certification and due diligence |
| Transaction Type | Whether the transaction is an exchange (crypto→fiat or crypto→crypto) or a transfer (to/from external wallet) |
| Asset Identifier | Type and name of the crypto-asset (e.g. BTC, ETH, USDT) |
| Transaction Value | Gross transaction value in fiat currency (EUR equivalent) at time of transaction |
| Market Identifier | ISIN or other market identifier where applicable |
Reports are submitted in standardised XML format to the national tax authority of the Member State where the RCASP is registered. Information on non-resident users is then exchanged automatically with the tax authority of their country of residence.
7. DAC8 in Italy: Implementation & Penalties
Italy completed its transposition via Law Decree 194/2025, approved by the Council of Ministers and published in late 2025. The Italian legislation is fully aligned with DAC8, with no substantive modifications or exemptions.
Italy-specific provisions
- Reporting deadline: 30 June of the year following the reporting period (first deadline: 30 June 2027 for the 2026 reporting year)
- Competent authority: Agenzia delle Entrate — which will issue technical specifications for electronic formats and transmission channels
- Mandatory registration: Reporting entities must register with the Agenzia delle Entrate, supported by coordinated notifications from the Bank of Italy and CONSOB
- Multi-agency structure: Data exchange and supervisory functions jointly managed by tax authorities and anti-money-laundering bodies
- GDPR compliance: RCASPs must comply with GDPR data protection rules when collecting and transmitting user data
Penalties for non-compliance in Italy
For minor failures in reporting or due diligence obligations — e.g. incomplete data, late submission
For serious failures — e.g. systematic non-reporting, false data, refusal to cooperate with Agenzia delle Entrate
As of October 2025, the Italian Revenue Agency has not yet issued the technical specifications for the XML format and transmission channels. RCASPs operating in Italy face operational uncertainty until these details are published. ITA International Tax & Advisor recommends beginning compliance preparation immediately, using the EU standard DAC8 XML schema as a baseline.
The Commission’s Implementing Regulation (EU) 2025/2263 of 12 November 2025 sets the standard forms and computerised formats for mandatory exchange — this is the technical baseline all EU Member States will use.
8. Before vs After DAC8: What Changes
| Aspect | Before DAC8 (pre-2026) | After DAC8 (from 2026) |
|---|---|---|
| EU-wide reporting framework for crypto | ❌ None — fragmented national rules | ✔ Mandatory, harmonised EU-wide framework |
| Tax data collection | Largely self-disclosed by users | Platform-reported, structured, annual |
| Cross-border data exchange | ❌ Limited or absent | ✔ Automatic between all EU Member States |
| KYC/TIN collection at onboarding | Informal or incomplete | Mandatory — tax residence and TIN required |
| Visibility for Italian Agenzia Entrate | Minimal — only Italian exchanges | ✔ Full visibility — all EU and non-EU RCASPs serving Italian users |
| Reporting format | Manual or inconsistent | Standardised EU XML schema — annual |
| Non-EU platforms serving EU users | ❌ Largely outside EU tax reach | ✔ Must register in one EU state and report |
9. Impact on Crypto Investors
DAC8 does not create new tax obligations for investors — crypto gains and income were already taxable in Italy under domestic rules. What DAC8 does is make enforcement dramatically more effective: tax authorities will now receive detailed, verified transaction data directly from exchanges, removing the reliance on self-reporting.
Full Transparency to Agenzia Entrate
All transactions on EU exchanges and non-EU exchanges serving Italian users will be reported automatically. Capital gains from crypto are taxed at 26% in Italy (2024 budget law). Undeclared gains will be systematically detected from 2027.
Data Follows Tax Residence
If you relocate to Italy mid-year, your data from non-Italian exchanges will still be shared with the Agenzia Entrate for the period you were Italian tax resident. Accurate residency records and timely declarations are essential.
Regime Applies Only to Employment Income
Capital gains and crypto income are NOT covered by the Impatriati Regime exemption. They remain taxed at 26% regardless. Proper tax planning is essential when combining crypto holdings with a tax relocation to Italy.
Mandatory Compliance by 1 Jan 2026
Platforms must update onboarding to collect TINs and tax residence for all EU users. XML reporting infrastructure must be operational for the first submission by 30 June 2027. Begin compliance preparation now.
10. Compliance Checklist for Platforms (RCASPs)
- Assess Scope — Are You an RCASP?
Determine whether your platform qualifies as a Crypto-Asset Service Provider under MiCA, or as a Crypto-Asset Operator (non-MiCA). If you serve EU tax-resident users, DAC8 applies regardless of where your firm is incorporated. - Register with the Italian Revenue Agency (if Italy-based or Italy-registered)
Mandatory registration with the Agenzia delle Entrate — coordinated with Bank of Italy and CONSOB notifications. Non-EU firms must register in one EU Member State before 1 January 2026. - Update Onboarding: Collect TINs and Tax Residence
DAC8 requires collection and verification of each EU-resident user’s Tax Identification Number (TIN) and jurisdiction(s) of tax residence. Embed this into your KYC/onboarding and periodic refresh processes. - Map Internal Data to DAC8 Reporting Fields
Identify all transaction types (exchanges, transfers, retail payments) and map your internal data fields to the DAC8 XML schema requirements. Validate completeness and resolve missing or conflicting tax residence data. - Build XML Reporting Workflow
Generate annual reports in the EU-mandated DAC8 XML format (as per Commission Implementing Regulation (EU) 2025/2263). Submit to the Agenzia delle Entrate by 30 June 2027 for the 2026 reporting period. - Ensure GDPR Compliance in Data Collection
All user data collected for DAC8 purposes must comply with GDPR. Update privacy notices, data retention policies, and cross-border data transfer documentation accordingly.
11. Frequently Asked Questions
Yes. Non-EU firms (e.g. US or Asian exchanges) that serve EU tax-resident users must register in one EU Member State and submit their DAC8 reports there. The EU’s reach extends globally wherever EU users are served.
The first automatic exchange of information between EU Member States takes place by 30 September 2027, covering transactions from the 2026 reporting year. Italian residents’ 2026 crypto activity on foreign exchanges will be shared with the Agenzia delle Entrate by that date.
Staking rewards distributed through an RCASP platform are reportable as transfers. Direct on-chain staking rewards (received without an intermediary) are outside the DAC8 reporting scope but remain taxable as income in Italy. The distinction depends on whether a service provider is involved.
No. DAC8 is purely a reporting and information exchange directive. It does not create new tax rates or liabilities. Crypto gains in Italy were already taxable at 26% (Law 197/2022). DAC8 simply ensures that tax authorities have the data to enforce existing rules more effectively.
DAC8 only requires reporting by service providers. If you use a self-custodial hardware wallet (no exchange intermediary), no reporting is triggered under DAC8. However, Italian domestic rules still require you to declare your crypto holdings and taxable events — DAC8 does not exempt self-custody users from Italian tax obligations.
Need DAC8 Compliance Guidance for Your Platform or Portfolio?
ITA International Tax & Advisor provides DAC8 compliance advisory for crypto-asset service providers and tax planning for investors holding crypto in Italy. We help you navigate the new transparency framework with confidence.
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