A Bloomberg report indicates that the Italian government is reconsidering its plans to increase the capital gains tax on cryptocurrencies from the current rate to 28% instead of the previously proposed 42%. This change comes as Prime Minister Giorgia Meloni's administration aims to lessen the tax burden, allowing for only a 2% increase from the existing rate of 26%. Giancarlo Giorgetti, Italy's Minister of Economy and Finance, had previously stated intentions for a higher tax hike on crypto trading. The motivations behind this adjustment are unclear, but it may be influenced by recent surges in cryptocurrency prices following the U.S. election results. The new proposal is still pending review and must be approved by Italian lawmakers before becoming effective. Previous discussions on the subject have included opinions that taxing cryptocurrencies could be counterproductive, highlighting ongoing debates about the implications of such financial regulations.

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