Cryptocurrencies in Andorra: how gains are taxed

How is a crypto capital gain taxed in Andorra?

For an Andorran tax resident, the sale of cryptocurrencies bought as an investment produces a capital gain included in the savings tax base of IRPF, personal income tax. Llei 24/2022 on digital assets expressly provides for this, and the tax authority has applied this treatment since a reply of 17 September 2018, confirmed on 7 March 2025.

allowance a yearshared by all savings income

€3,000

above thatno 5% band

10%

to offset a lossagainst savings income in the following years

10 years

The capital gain is the difference between the sale price, taken as at least its market value, and the acquisition price, including purchase costs; selling costs are also deductible (Llei 5/2014, art. 25 and 26). It is added to interest, foreign dividends and the year’s other capital gains: the €3,000 allowance applies only once to the total. A loss is offset against other savings income, and a negative balance is carried forward over the following ten years (art. 32).

The exemptions provided for shares and fund units only cover those securities: in the case submitted to it in 2025, the tax authority identified no exemption applicable to cryptocurrencies. The savings tax base is explained in detail in our guide tax on dividends and capital gains in Andorra.

How do you declare the gain?

The gain is declared on form 300, schedule 300-E, from 1 April to 30 September of the following year. This schedule has no code specific to crypto-assets: it distinguishes real property, listed or unlisted securities, fund units, “movable property” and “other assets”.

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Sale, exchange, payment: which transactions are taxable?

In Andorra, a capital gain arises from any change in the composition of your assets (Llei 5/2014, art. 24). Llei 24/2022 draws the consequence: exchanging cryptocurrencies for euros or for other cryptocurrencies is a transfer, taxed when it takes place. This is the main difference from France, which defers tax on exchanges between crypto-assets.

Andorra: Llei 24/2022 (additional provision 2) and consultation CV0337-2025. France: impots.gouv.fr, page updated on 17 July 2026; disposals exempt if their total does not exceed €305 in the year.

Simply holding them is not taxed: there is no wealth tax in Andorra, and IRPF only taxes realised gains. Paying for a purchase in cryptocurrencies, on the other hand, changes your assets: the transaction in principle counts in the calculation of capital gains. According to the 2025 consultation, converting a bitcoin into its “wrapped” version (wBTC), or moving ether to a layer 2, does not create a capital gain as long as the asset received remains exchangeable for the asset given up; it does, however, lose its original acquisition date.

What Llei 24/2022 on digital assets provides

Llei 24/2022 of 30 June 2022, which came into force three months after its publication, regulates the digital representation of assets through cryptography and blockchain: token issuance, custody, exchange platforms, decentralised finance. Providers that carry on these activities on a professional basis must obtain a licence from the AFA, the Andorran Financial Authority, which supervises them and keeps a public register (art. 9 and 30). They are also subject to the anti-money laundering law.

The tax regime laid down by the law

Its additional provision 2 sets out a “tax regime for digital assets”. For individuals, it provides in particular for:

• the taxation of each exchange for euros or for another cryptocurrency, at the time of the transfer;
• the savings tax base for cryptocurrencies acquired as an investment, unless there is an economic activity;
• a sale price taken as at least the market value, and a valuation method to be kept until all units of the same kind have been sold;
• a five-year carry-forward of losses and a 25% annual reduction from the second year, on condition of reinvesting in Andorra: two rules that the IRPF law does not provide for (see below).

Mining is not subject to IGI as long as it is not carried out for consideration for a recipient, and the transfer of cryptocurrencies used as a means of payment is subject to IGI but exempt. Exchange and custody providers, as well as merchants who accept cryptocurrencies for transactions of €10,000 or more, must identify their customers and report these transactions. Finally, a mining installation must be authorised by the Govern and registered, unless it is a private installation, has fewer than 10 computers or uses proof of stake.

What remains uncertain, and how to settle it

The main uncertainty lies in how Llei 24/2022 and the IRPF law fit together. Asked by an investor resident in Andorra since 2021, the tax authority, the Departament de Tributs i de Fronteres, replied on 7 March 2025, in a consultation that binds it (CV0337-2025), that Llei 24/2022 does not amend the IRPF law:

The consequences and the open questions

• The 25% annual reduction does not exist in the IRPF law. Asked when it starts, the tax authority replied that the capital gain is calculated as the difference between the sale price and the acquisition price: do not take it into account without a written reply to the contrary.
• The original acquisition price remains the reference, even for cryptocurrencies bought before moving to Andorra: the gain accumulated before then will be taxed on sale.
• The calculation method: Llei 24/2022 cites “first in, first out” (FIFO), but the tax authority accepts any generally accepted valuation method, applied consistently and justified.
• Carrying losses forward: five years under Llei 24/2022, ten years for the savings tax base under the IRPF law; the 2025 consultation does not deal with this point.
• Staking, lending, airdrops, NFTs: we have found neither legislation nor published guidance that classifies them. The IRPF law classes what an asset held produces as income from capital (art. 19), but the boundary with capital gains and economic activity remains to be clarified.
• A loss followed by a repurchase: the IRPF law generally defers a loss on an item bought back within the year following its sale until its subsequent resale (art. 24), with no exception for crypto-assets.

Investor or trader: when does the activity become professional?

The savings tax base only applies if the gains do not come from an economic activity (Llei 24/2022, additional provision 2). The IRPF law defines this activity as organising, on one’s own account, material or human resources with a view to producing or distributing goods or services (art. 14). No legislation sets a threshold specific to crypto-assets, either in number of transactions or in amount.

If the activity is held to be economic, its results move into the general tax base, with the effective scale of 0, 5 and 10% described in our guide to income tax in Andorra. The rules for a self-employed activity then apply, including the residence authorisation and contributions: see sole traders and the self-employed in Andorra.

Leaving France with cryptocurrencies

As long as you are domiciled in France for tax purposes, your capital gains on crypto-assets are taxed there, wherever your wallets are. Preparing to leave involves four stages.

1. 1

   Before leaving: French tax

   An individual’s capital gains bear the 31.4% flat-rate levy (12.8% income tax and 18.6% social levies), or the progressive scale by election. Exchanges between crypto-assets without a cash balancing payment are deferred, and disposals are exempt if their annual total does not exceed €305. A capital loss can only be set against capital gains of the same kind in the same year.

2. 2

   Declaring your accounts opened abroad

   A digital asset account opened with a foreign platform must be declared every year with your income tax return, on form 3916-bis (Article 1649 bis C of the French General Tax Code). Penalty: €750 per undeclared account, €1,500 if the value of the accounts exceeds €50,000 at any time during the year.

3. 3

   Checking the exit tax

   The French exit tax under Article 167 bis covers the corporate rights, securities and shares of Article 150-0 A, without mentioning crypto-assets: according to the text, cryptocurrencies held directly do not fall within its scope, but your securities do count. See our guide exit tax and leaving France.

4. 4

   After leaving: Andorra takes over

   Article 150 VH bis only covers persons domiciled in France for tax purposes. As an Andorran tax resident, you are taxed in Andorra when you sell, on the basis of your original purchase price: the gain accumulated during your years in France is not wiped out.

Everything depends on your departure being genuine: your home, main activity and economic interests must leave France. The criteria are set out in our guide to becoming tax resident in Andorra, and the returns for the year of departure in leaving France for tax purposes.

Exchange of information: CRS, DAC8 and CARF

Crypto-assets are gradually being brought into the automatic exchange of information between tax authorities; Andorra applies only some of these frameworks.

• DAC8 has required crypto-asset service providers, since 1 January 2026, to collect transaction data on their customers resident in the European Union, of which Andorra is not a member.
• The CARF, the OECD’s framework specific to crypto-assets, counts France among the countries that will exchange from 2027. Andorra appears neither among the committed countries nor among those the OECD considers relevant (list of 14 September 2026); according to Llei 26/2025, it has undertaken to join if the need for it is identified.
• The revised CRS has applied in Andorra since 1 January 2026 (Llei 26/2025): its scope now covers electronic money products and digital assets.

For other financial accounts, see automatic exchange of information between Andorra and France.

Common misconceptions about cryptocurrencies in Andorra