Open a Cryptocurrency Company in Sweden

Cryptocurrency regulation in Sweden

• - the Financial Supervisory Authority (FSA) and the Swedish central bank (the Riksbank) have stated that while Bitcoin is legal, it is not legal tender;
• - the e-krona is a project by the Riksbank which has not yet been launched; it would be a digital complement to cash, available to everybody;
• - from a taxation standpoint, cryptocurrencies are an asset, not currency or cash;
• - registration requirements are in place for certain services providers; this could be seen as an equivalent of a crypto exchange license in Sweden, as exchanges are registered and must observe the Swedish Currency Exchange Act;
• - crypto mining is not regulated under Swiss law;
• - capital gains are imposed on cryptocurrencies, as detailed below by our team.

Company formation in Sweden

1. Private limited company: incorporated by one or two investors with a minimum share capital of SEK 25,000; it cannot offer its shares to the public and it is run by at least one director;
2. Public limited company: can sell its shares to the general public and it requires a larger minimum share capital of SEK 500,000; it is run by a board or directors consisting of at least 3 members.

Cryptocurrency company taxation

• - Corporate income tax: the standard rate of 20.6% applies on the worldwide income of the resident company;
• - Dividend tax: 0% withholding tax on dividends paid to residents; foreign companies and non-resident individuals are subject to a general withholding tax of 20%; certain exceptions and reductions under a tax treaty apply;
• - Value added tax: the standard rate is 25% and there are two lower rates of 12% and 6%; some type sof goods and services are 0% rated;
• - Other taxes: capital gains are imposed on cryptocurrencies at a flat rate of 30%.