How to Report NFT Profit in Spain: Complete Tax Guide 2024

As NFTs (Non-Fungible Tokens) continue transforming digital ownership, Spanish investors are increasingly earning profits from buying, selling, and trading these unique assets. However, many remain unaware that NFT gains are fully taxable in Spain. This comprehensive guide explains exactly how to report NFT profits to the Spanish Tax Agency (Agencia Tributaria), helping you avoid penalties while maximizing compliance. Whether you’re an occasional seller or active trader, understanding these rules is crucial for your financial health.

Are NFT Profits Taxable in Spain?

Absolutely. The Spanish Tax Agency treats profits from NFT sales as capital gains, categorizing them under “Rendimientos del Capital Mobiliario” (Income from Movable Capital). This applies regardless of whether you:

• Minted the NFT yourself
• Purchased and resold it on platforms like OpenSea or Rarible
• Received NFTs as payment for services
• Traded NFTs for other cryptocurrencies

Even if profits remain in crypto wallets without conversion to euros, they’re still subject to Spanish taxation laws. The only exception applies to NFTs held for over 10 years, which may qualify for a 100% tax exemption under the “long-term asset” rule.

Step-by-Step: Reporting NFT Gains on Your Spanish Tax Return

Follow this structured process to accurately declare NFT profits:

1. Calculate Your Net Profit: Subtract acquisition costs (purchase price + gas fees + platform commissions) from the final sale price. Example: Bought NFT for €1,000 (€50 fees) → Sold for €3,000 (€100 fees) = €1,850 profit.
2. Determine Holding Period: Short-term (held ≤1 year) and long-term gains (held >1 year) use the same tax rates but require separate reporting.
3. Complete Form 100: Report profits in Box 108 (short-term) or Box 109 (long-term) under “Ganancias y Pérdidas Patrimoniales.”
4. Include Supporting Documentation: Attach transaction records showing dates, amounts, wallet addresses, and exchange statements.
5. Pay Applicable Taxes: Submit via direct debit or bank transfer by the June 30 deadline following the tax year.

NFT Tax Rates in Spain for 2024

NFT profits fall under Spain’s savings tax base, with progressive rates:

• €0 – €6,000: 19%
• €6,001 – €50,000: 21%
• €50,001 – €200,000: 23%
• €200,001+: 28%

Example: €15,000 NFT profit would incur:
€6,000 × 19% = €1,140
€9,000 × 21% = €1,890
Total tax = €3,030

Critical Record-Keeping Requirements

Maintain these documents for 4 years to substantiate your filings:

• Blockchain transaction IDs (TxIDs) for all buys/sells
• Exchange statements showing EUR conversion rates
• Receipts for gas fees and platform commissions
• Dated screenshots of NFT metadata proving ownership
• Records of airdrops or mined NFTs with market valuations

NFT Losses: Offsetting and Reporting Rules

Capital losses from NFT sales can reduce your tax burden:

• Offset unlimited losses against NFT/crypto gains in the same year
• Unused losses carry forward up to 4 subsequent tax years
• Report losses in Box 114 (short-term) or Box 115 (long-term) on Form 100

Important: Wash sales (repurchasing identical NFTs within 30 days of selling) don’t qualify for loss deductions.

Frequently Asked Questions (FAQ)

Do I pay taxes if I trade NFTs for other cryptocurrencies?

Yes. Crypto-to-NFT or NFT-to-crypto trades are taxable events. Calculate gains based on the euro value at transaction time using official exchange rates.

How are minted NFTs taxed upon first sale?

If you create and sell an NFT, profits qualify as self-employment income (Modelo 130). You’ll pay IRPF rates (19%-47%) plus VAT if exceeding €35,000 annually.

What if I used a foreign NFT platform?

You must still declare profits. Foreign platforms don’t report to Spanish authorities, but failure to disclose constitutes tax evasion with penalties up to 150% of owed tax.

Can Hacienda track my NFT wallet?

While blockchain is pseudonymous, the Tax Agency increasingly uses chain analysis tools. Since 2021, Spanish exchanges must report user data, creating audit trails to wallets.

Are there deductions for NFT investment costs?

Yes. Deductible expenses include:
– Gas fees
– Marketplace commissions
– Wallet subscription fees
– Professional tax advisor costs

Avoid These Common Reporting Mistakes

• Ignoring small transactions: Gains under €500 still require declaration
• Forgetting airdrops/staking rewards: These count as miscellaneous income at market value
• Miscalculating holding periods: Track acquisition dates precisely
• Using inaccurate exchange rates: Always reference Banco de España daily rates

When in doubt, consult a gestor or tax specialist familiar with crypto assets. Proper NFT profit reporting ensures compliance while avoiding costly penalties of up to 26.5% interest on overdue taxes. Stay informed as regulations evolve – Spain’s 2025 Digital Asset Law may introduce new reporting frameworks.