On Wednesday, the Slovakian parliament voted 112-2 for a bill intended to reduce taxes on digital currency.

A group of members from the Slovak National Council issued an explanation document.

The bill states that “when selling virtual currency one year after its purchase, income will be taxed at a rate of 7%”. Crypto held for shorter periods would also be taxed along with other taxable income.

The vote on June 28 was the third reading in the Council of Slovakia, the sole legislative body.

Slovakia, for example, is free to establish its own crypto tax rules. This could be a great way to increase the popularity of crypto. Portugal tax breaks were a big part of what made the country attractive to the crypto sector. However, ministers announced last year that they would no longer be offering this favorable treatment.

Stephen Alpher edited the book.