Latvia has approved a draft law to implement DAC8, introducing new reporting and due diligence rules for crypto-asset service providers. Most rules will take effect on 1 January 2026.
Latvia’s government has approved a draft law to implement Council Directive (EU) 2023/2226, introducing new reporting and due diligence rules for crypto-asset service providers.
Approved by the European Council in October 2023, DAC8 is based on the OECD’s Crypto-Asset Reporting Framework (CARF) and the updated Common Reporting Standard (CRS) for automatic exchange of financial account information.
The draft amendments empower the Cabinet of Ministers to establish detailed regulations on when information must be filed, the scope of reportable information, the processes for obtaining, verifying, and sharing information with tax authorities, measures for automatic information exchange, and procedures for its implementation.
EU Member States must adopt and publish the laws and regulations required for DAC8 compliance by 31 December 2025. Most provisions apply from 1 January 2026, with some delayed until 1 January 2028.
The tax authorities may levy penalties of up to EUR 14,000 on taxpayers for non-compliance.
