In Brief
- From January 1, 2026, the DAC8 directive is in force in the EU: crypto exchanges collect tax data from clients who are EU tax residents and submit annual transaction reports to tax authorities. The first data exchange for 2026 is due by September 30, 2027.
- For those who opened an account before 2026, the exchange must obtain a self-certification form (country of tax residence and TIN) no later than January 1, 2027.
- If you do not respond after two reminders and 60 days, the exchange must block your “reportable transactions”; in practice, this means trading and withdrawals.
- You must indicate your actual country of tax residence. Temporary protection status does not determine it by itself: the deciding factors are the length of stay and the center of vital interests.
- Reporting covers crypto-to-fiat exchanges, crypto-to-crypto exchanges, and transfers, including withdrawals to your own wallet.
If you live in Poland, Germany, the Czech Republic, or another EU country and use a crypto exchange, in 2026 you have almost certainly seen a banner or email asking you to provide a tax identification number. Many people ignore the “DAC8 tax identification number” request, assuming it is just a formality. But the January 1, 2027 deadline is already approaching, and ignoring it leads to blocked transactions. Let’s look at what they want from you and what you should provide.
- Why the exchange asks for a tax identification number
- Key DAC8 dates
- What data the exchange will request
- Which country to specify: typical situations
- Where to get a tax identification number in popular countries
- How to fill in tax information on an exchange: step by step
- What happens if you ignore it or provide false information
- Does this mean you need to pay tax?
- Risks and nuances
- FAQ
- What is DAC8 in simple terms?
- By what date do you need to provide your tax identification number on the exchange?
- What happens if you do not provide a tax number?
- Which country should a Ukrainian with temporary protection indicate?
- Can a Ukrainian tax identification number be provided instead of a European one?
- Is a withdrawal to your own wallet included in the report?
Why the exchange asks for a tax identification number
DAC8 (EU Directive 2023/2226) is the European version of the OECD’s CARF standard. It requires crypto service providers that serve EU residents — exchanges, brokers, and custodial services — to collect data on clients and their transactions and report it to the tax authorities annually. The tax authority in the country where the provider is registered automatically transfers this data to the tax authority in your country of residence.
Important: DAC8 also applies to exchanges outside the EU if they serve EU residents. That is why requests come from Binance, Bybit, OKX, Kraken, and other platforms alike. This is not a new tax, but a new channel through which the tax authority learns about your transactions.
Key DAC8 dates
| Date | What happens |
|---|---|
| January 1, 2026 | Exchanges begin collecting data on EU-resident clients and their transactions |
| Throughout 2026 | Exchanges request self-certification from new and existing clients |
| January 1, 2027 | Self-certification deadline for accounts opened before 2026 |
| 2027 | Exchanges submit their first reports for 2026 |
| By September 30, 2027 | First automatic exchange of data between the tax authorities of EU countries |
What data the exchange will request
- name, address, and date of birth;
- country or countries of tax residency;
- tax identification number (TIN) for each country of residency.
What will be included in the report: amounts of cryptocurrency purchases and sales for fiat, exchanges of one cryptocurrency for another, transfers, including to addresses not belonging to an exchange or another provider — that is, withdrawals to your own wallet.
Which country to specify: typical situations
Tax residency is determined by the laws of a specific country and the double taxation avoidance treaty with Ukraine. The general principle in most EU countries is that a resident is someone who spends more than 183 days a year in the country or has their center of vital interests there — family, work, or permanent housing.
| Your situation | What you will most likely need to indicate | Comment |
|---|---|---|
| You have lived in an EU country for more than six months and work or study there | An EU country and the local TIN | The most common case among Ukrainians under temporary protection |
| You moved recently, and your family and income are in Ukraine | Ukraine and the RNOKPP | Be prepared to explain why your address is in the EU while your tax residency is Ukrainian |
| You are formally a resident of two countries | Both countries and both numbers | The DAC8 form allows you to indicate multiple countries |
| You live in the EU but work as a sole proprietor in Ukraine | Determined by tax residency rules, not by sole proprietor status | This is a complex case: consult a tax adviser in your country of residence |
| You returned to Ukraine | Ukraine and the RNOKPP | Update your details on the exchange and with EU banks |
Do not specify a country “at random” or one where, as you think, taxes are lower. The exchange’s data will be checked against tax databases, and discrepancies will become grounds for questions.
Where to get a tax identification number in popular countries
| Country | Which number is provided | Where to get it |
|---|---|---|
| Poland | PESEL (for Ukrainians with temporary protection — PESEL with UKR status) or NIP | Municipality office or tax office |
| Germany | Steuer-ID (tax identification number) | Sent by mail after registering your place of residence (Anmeldung) |
| Spain | NIE | Police or immigration office |
| Italy | Codice fiscale | Tax agency (Agenzia delle Entrate) |
| Netherlands | BSN | When registering with the municipality |
| Lithuania | Asmens kodas (personal code) | Assigned when obtaining a residence permit |
| Ukraine | RNOKPP (TIN) | Tax service or Diia |
If you do not yet have a tax identification number in your country of residence, it is worth obtaining one in advance: without it, the exchange will not be able to accept the self-certification.
How to fill in tax information on an exchange: step by step
- Determine your country of tax residency. Use the 183-day rule and the center of vital interests. In disputed cases, consult a tax advisor in your country of residence.
- Prepare your TIN. Find the number in your documents or obtain it from the local tax authority. For Ukraine — RNOKPP.
- Find the form in your account. This is usually a banner in the app, an email from the exchange, or a tax information section in your profile. Open the form only in the app or on a website whose address you enter yourself: emails asking you to “confirm your tax details” are a common phishing pretext.
- Fill in the details exactly as they appear in your documents. Your name, address, and date of birth must match the verification data.
- List all countries of residency. If you are a resident of two countries, add both and both numbers.
- Save the confirmation. Take a screenshot or save the email confirming that your details were accepted.
- Update your details when you move. If you change your country of residence, update your self-certification.
What happens if you ignore it or provide false information
- Transaction blocking. If, after two reminders and no earlier than 60 days later, you have not provided the data, the exchange must prohibit you from carrying out “reportable transactions.” Depending on the platform, this includes trading, exchanging, and withdrawals.
- False information. Incorrect self-certification is a violation for which the national laws of EU countries provide penalties. In addition, starting in 2027, tax authorities will cross-check exchange data against their own databases.
- Problems with your bank. EU banks have long requested tax residency information under the similar CRS standard. For example, Revolut restricted account functions for Ukrainians in the EU who did not provide a local tax number, as DOU wrote. Discrepancies between exchange and bank data will raise questions for both.
Does this mean you need to pay tax?
DAC8 does not introduce a new tax. It only gives the tax authorities data about your transactions. Tax obligations are determined by the laws of your country of residence, and in most EU countries, profits from selling cryptocurrency are taxable. If you are a tax resident of an EU country, the tax authorities will receive your 2026 transaction data in 2027. Now is the best time to get your transaction records in order.
Withdrawing to your own wallet does not exempt you from reporting: such transfers are also included in the exchange’s report. To choose a wallet for storage, see the review of the best cryptocurrency wallets. And to find out which exchanges operate in the EU after July 1, 2026, see the review Binance and MiCA.
Risks and nuances
- Countries implemented the directive at different speeds. The data collection process and penalties depend on the national law of the country where the exchange is registered.
- Temporary protection in the EU has been extended until March 4, 2028. If your status changes, update your details with both the exchange and the bank.
- Phishing disguised as DAC8. Scammers send emails saying “confirm your tax details or your account will be blocked.” Enter your information only in the app or on a website you opened yourself.
- Do not confuse DAC8 and MiCA. MiCA determines which exchanges can operate in the EU, while DAC8 determines what data they report to the tax authorities.
FAQ
What is DAC8 in simple terms?
This is an EU directive under which crypto exchanges and other crypto services, starting from January 1, 2026, collect tax data from clients who are EU residents and report their transactions annually to the tax authorities. The first data exchange for 2026 will take place by September 30, 2027.
By what date do you need to provide your tax identification number on the exchange?
For accounts opened before 2026, the exchange must obtain self-certification no later than January 1, 2027. New clients provide the information during registration.
What happens if you do not provide a tax number?
After two reminders, and no earlier than after 60 days, the exchange must block your reporting-related operations. In practice, this means restrictions on trading, exchange, and withdrawals until you provide the data.
Which country should a Ukrainian with temporary protection indicate?
The one where you are a tax resident. Temporary protection status itself does not determine residency. If you live in an EU country for more than 183 days a year and your center of interests is there, you would usually indicate that country and your local tax number. In disputed cases, consult a tax advisor.
Can a Ukrainian tax identification number be provided instead of a European one?
Only if you are genuinely a tax resident of Ukraine. If you are a resident of an EU country, you should indicate that country and its tax number. If you are a resident of both countries, provide both numbers.
Is a withdrawal to your own wallet included in the report?
Yes. Under DAC8, exchanges report transfers to addresses not associated with another provider, including withdrawals to a self-custody wallet. The withdrawal itself is not taxed, but the tax authority will see the movement of funds.
