Made a loss on Bitcoin or altcoins? Here you'll find out when crypto losses are deductible in Belgium and how to report them correctly.
📘 Update March 2026: As of 1 January 2026 a new 10% capital gains tax applies to crypto. The rules for offsetting losses have fundamentally changed. Read our in-depth knowledge page on crypto losses under the new law for the current rules.
Made a loss on Bitcoin, Ethereum or altcoins? You are not alone. With the volatility of crypto markets, many Belgian investors end up in the red. The big question: can you deduct this loss from your taxes?
The short answer: it depends on your investor profile. Belgium distinguishes between three types of crypto investor, and each profile carries different tax consequences.
Overview: Loss Deduction by Profile
| Profile | Loss deductible? | Notes |
|---|---|---|
| Normal management (through 2025) | No | No tax on gains = no deduction for losses |
| Normal management (from 2026) | Yes, within the year | Offset losses against capital gains in the same year (10% regime). Not carryable forward. |
| Speculative | Yes, carryable forward 5 years | Offset against speculative gains; carryable forward over the next 5 years (33% regime) |
| Professional | Yes | Fully deductible as a business expense, carryable forward |
1. Normal Management of Private Assets
Most Belgian crypto investors fall under normal management of private assets. This is typically the buy-and-hold investor who:
- Buys crypto as a long-term investment
- Does not trade daily
- Does not use leverage
- Does not rely on crypto as a main source of income
Through 2025: gains from normal management were tax-free in Belgium, and losses were not deductible. The logic was simple: no tax on gains = no deduction for losses.
From 2026: normal management is taxed at 10% (above the €10,000 annual exemption). Losses can now indeed be offset against capital gains within the same tax year, but they are not carryable forward to later years.
Watch out for losses on older holdings: for crypto you already held before 2026, your cost basis is the market value on 31 December 2025, not your original purchase price. A deductible loss is only calculated on the decline in value after that date. If you sell in 2026 below your purchase price but above the end-of-2025 value, there is no deductible loss for tax purposes.
Example (situation through 2025): Marie bought €10,000 worth of Bitcoin in 2021. In 2024 she sells for €6,000, a loss of €4,000. As a normal manager she cannot deduct this loss, but she would also not have paid any tax had she sold at a profit.
2. Speculative Trading
Are you an active trader? Then the tax authorities may consider you speculative. Indicators:
- Frequent trades (several per week/month)
- Short holding periods (days/weeks)
- Use of leverage or margin trading
- Day-trading patterns
- Trading in highly risky altcoins
With speculative trading, your gains are taxed as miscellaneous income (diverse inkomsten) at 33%. The advantage: you can offset losses against gains within the same tax year.
Example: Tom makes €5,000 profit on Ethereum trades in 2024, but a €3,000 loss on altcoin trades. His net taxable profit is €2,000, on which he pays 33% = €660 in tax.
Note: losses from speculative trading (miscellaneous income, 33%) can be carried forward over the next 5 years, but only if you report them in the year in which they were realised. This differs from the capital gains tax (10%), where losses are not carryable forward.
3. Professional Trading
Do you trade crypto professionally? Then your income falls under professional income. This is the case when:
- Crypto trading is your main activity
- You trade in an organised and systematic way
- You invest significant capital and time
- You offer crypto-related services (advice, courses)
Professional income is taxed at progressive rates (up to 50%) plus social security contributions. The advantage: losses are fully deductible as a business expense and can be carried forward to later years.
How Do You Document Losses?
Whether you trade speculatively or professionally, accurate documentation is crucial:
- Keep records of all transactions, date, amount, asset, purchase and sale price
- Determine your cost basis correctly, FIFO (First In, First Out) is a common convention, but is not legally required in Belgium. For crypto you held before 2026, the capital gains tax in fact prescribes a weighted-average acquisition value per coin, based on the value on 31 December 2025.
- Keep exchange exports, CSV/Excel exports from Kraken, Binance, etc.
- Document wallet transactions, on-chain transactions with timestamps
Cryptotax automates this process: import your wallets and exchanges, and we calculate your profit and loss per coin. For holdings from before 2026, we automatically apply the weighted-average acquisition value that the capital gains tax prescribes.
Frequently Asked Questions
Can I deduct a crypto loss from other income?
No. You can only offset speculative crypto losses against speculative crypto gains, not against your salary or other income.
What if I have made both a profit and a loss?
With speculative trading, you first calculate your net result (profit minus loss). Only the net positive amount is taxable.
Do I have to report a loss as a normal manager?
Through 2025 this was technically not required (gains were exempt), but it was wise to document your positions. From 2026, your capital gains from normal management are taxable at 10% and you report them yourself (there is no withholding tax on crypto). Net capital gains above the exemption therefore have to be reported. Losses can only be offset within the same year: they are not carried forward, so a year with only a loss yields no tax benefit for later years.
How do the tax authorities know whether I trade speculatively?
The tax authorities look at the full picture: frequency, amounts, holding periods, and your overall financial situation. There is no hard threshold.
Unsure about your profile or want to have your profit and loss calculated?
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Start for freeDisclaimer: This article is informative and does not constitute tax advice. Consult a tax adviser for your specific situation.
