Chile

In Chile, cryptocurrencies are legally defined as intangible assets, rather than legal tender or foreign currency. The crypto market is regulated, meaning these digital assets are integrated into the country's general tax framework, with oversight from various financial authorities. The primary authority governing cryptocurrency taxation is the Servicio de Impuestos Internos (SII), Chile's tax service. Crypto income and gains are largely taxed under the existing Income Tax Law and specific rulings issued by the SII. Individual investors face progressive tax rates from 0% to 40% on crypto income and capital gains, applied through the Global Complementary Tax. This applies whether converting crypto to fiat or swapping one cryptocurrency for another, which is considered a taxable event. All gains are treated identically regardless of the holding period, there are no specific benefits or different rates for long-term holdings. Corporate entities are subject to a 27% corporate tax rate, though small and medium-sized enterprises (SMEs) with sales under a CLP 200 billion threshold may qualify for a 25% rate. While direct sales of cryptocurrencies are exempt from VAT, related services such as brokerage or custody are subject to a 19% VAT. Staking rewards are taxed as ordinary income upon receipt, subject to the individual's progressive rates (0-40%) or the corporate rate (27%). Mining is also treated as business income, with individuals potentially making a 25% advance payment that can be credited against their final tax, and business-related costs being deductible. For decentralized finance (DeFi) activities and Non-Fungible Tokens (NFTs), there is no official specific guidance, but gains from these are likely treated as general income, consistent with how other intangible assets are taxed under current law.