Everything crypto taxpayers in Portugal need for IRS 2023: filing dates, how to declare DeFi rewards, reporting >365-day gains, mining income rules, and payment options.
Thomas Maas
Mar 1, 2024
Between April 1 and June 30, 2024, Portugal kicks off its first full crypto tax season for IRS 2023. This quick guide explains what changed and exactly how to report DeFi rewards, long-term gains, and mining income—plus what to expect after you file and how to pay, even from abroad.
Filing window & payment timeline
The IRS 2023 personal income declaration runs from April 1 to June 30, 2024. After submitting, expect a physical letter and a digital notice with the amount due in roughly 2–3 months. You can pay in full or choose monthly installments (interest may apply). You may also pay from a foreign bank account if you don’t have a Portuguese one.
How to declare DeFi cash-outs (Category B)
If you’re a full-time crypto trader or you cashed out DeFi rewards in 2023 (airdrops, play-to-earn, LP rewards, staking fee distributions, or NFT staking income), you should declare them in Category B. Although the activity code the government first requested isn’t created yet, for IRS 2023 you must report DeFi cash-outs under “419 – Income from crypto operations.” You can declare up to €200,000, of which 15% is taxable and 85% is treated as costs.
Reporting realized long-term capital gains (>365 days)
Surprisingly, you must report gains on assets held longer than 365 days—even though they are not taxed. Provide: date of sale, sale amount, date of purchase, purchase amount, all costs/fees, and the counterparty country.
Declaring mining income (Proof-of-Work)
Income from PoW mining is declared under “422 – Income from mining.” Here, 95% of the declared amount is taxable (only 5% treated as costs), reflecting the government’s view of PoW’s environmental impact.
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