DAC8: Luxembourg adopts EU Directive regarding the reporting obligation for crypto assets and crypto reporting
Luxembourg has adopted the law implementing the EU DAC8 Directive (Directive on Administrative Cooperation), introducing mandatory tax reporting obligations for crypto-assets. The bill (no. 8592) is part of the EU-wide effort to increase tax transparency in the digital economy. The regulation applies retroactively to 1 January 2026. Ecovis consultants explain the implications for crypto-asset service providers.
Who the new rules apply to
Under the new rules, crypto-asset service providers (CASPs), including exchanges and custodians operating in Luxembourg or servicing EU clients, will be required to collect and report detailed information on users. This includes:
- Transaction data
- Account balances
- Realised gains
The information will be transmitted to the Luxembourg tax authorities and automatically exchanged with other EU jurisdictions.
We support clients with statutory and contractual audits and additional legal questions.
Arnaud Yamalian, Managing Director, ECOVIS IFG Audit S.A. – Luxembourg
From when data must be provided
The regime applies from 1 January 2026, with first reporting and exchanges of information expected in 2027. DAC8 aligns crypto-assets with existing reporting frameworks such as CRS, closing a significant gap in tax transparency.
What DAC8 means for Luxembourg
For Luxembourg, the law reinforces its position as a compliant and transparent financial centre, while increasing regulatory expectations for crypto-related activities. Market participants will face enhanced due diligence, data collection and reporting obligations.
What companies need to do
Crypto service providers and investment structures should assess their exposure to DAC8, implement robust data collection processes and ensure compliance with new reporting requirements ahead of 2026. Early preparation is essential to avoid operational and regulatory risks.
