Iraq cryptocurrency tax guide
The Central Bank of Iraq first restricted supervised institutions from crypto dealings in 2017, formalized through Circular No. 125/5/9 of 22 November 2021, which prohibits banks, non-bank financial intermediaries, and electronic payment service providers from virtual asset transactions, citing AML Law No. 39 of 2015. Cryptocurrencies are not legal tender, but no specific legislation criminalizes private individuals' possession or peer-to-peer trading, and this guide found no evidence of a specific tax framework addressing crypto.
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Tax authority: General Commission for Taxes; Central Bank of Iraq (CBI) for the underlying restriction · Last reviewed 2026-10-11 · Next review due 2027-04-11
This is educational information, not individualized tax or legal advice. Cryptocurrency taxation changes quickly and depends on personal circumstances — confirm current rules with General Commission for Taxes; Central Bank of Iraq (CBI) for the underlying restriction or a qualified local tax professional before relying on it.
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What this guide covers
This guide documents Iraq's crypto regulatory position for 2025, centered on a central bank restriction rather than a tax regime. cbi.iq wasn't directly fetched. This is educational information, not individualized tax or legal advice.
Tax treatment of cryptocurrency
Iraq bars its own banks from crypto dealings, but no tax authority guidance addresses crypto at all for individuals. The Central Bank of Iraq first barred supervised institutions from crypto dealings in 2017, formalizing this through Circular No. 125/5/9, dated 22 November 2021, which prohibits supervised financial institutions — including banks, non-bank financial intermediaries, and electronic payment service providers — from engaging in virtual asset transactions, and separately bars the use of payment cards and e-wallets for crypto. The central bank cites anti-money-laundering risks under AML Law No. 39 of 2015 as its legal basis. Cryptocurrencies aren't recognized as legal tender in Iraq, and crypto-denominated contracts are reported as not enforceable, but there's no specific legislation that criminalizes the possession or peer-to-peer trading of cryptocurrencies by private individuals — they operate in a legally ambiguous and unregulated space. This research pass found no evidence that Iraq's General Commission for Taxes has recognized virtual assets as property or currency, or issued any crypto-specific tax guidance.
Common taxable events
- Not identified in this research pass. No tax authority guidance on crypto was located.
Potentially non-taxable events
- Not identified in this research pass. This guide doesn't assert crypto gains are tax-exempt merely because no guidance was found.
Tax rates and thresholds
Not identified in this research pass.
Cost basis and calculation
Not identified in this research pass.
Reporting and compliance
- Not identified in this research pass for individual tax reporting.
- Banks, non-bank financial intermediaries, and electronic payment service providers face a separate prohibition on virtual asset transactions under CBI Circular No. 125/5/9 — a banking/regulatory matter distinct from individual tax reporting.
Residency and cross-border issues
Not resolved in this research pass. One development worth noting: the Kurdistan Regional Government's Ministry of Interior and the Erbil General Security Directorate reportedly announced a full ban on crypto activity in the Kurdistan Region in April 2025, separate from the federal CBI circular.
Example
This guide omits a worked tax example, since no tax information of any kind was located for Iraq in this research pass.
Official resources
- General Commission for Taxes: https://gct.gov.iq/
- Central Bank of Iraq (CBI): https://cbi.iq/
Limitations and review information
Tax year covered: 2025. Last verified: October 11, 2026. Known gap: cbi.iq wasn't directly fetched; no tax authority source or guidance addressing crypto was located in this research pass, despite the central bank restriction itself being well-documented and specifically cited. This is educational information only, not individualized tax or legal advice — confirm current specifics directly with the General Commission for Taxes, the Central Bank of Iraq, or a qualified Iraqi advisor.
Sources
Central Bank of Iraq (CBI) · Published/updated 2021-11-22 · Checked 2026-10-11
Supports: The exact circular number and date formalizing the Central Bank of Iraq's prohibition on supervised financial institutions (banks, non-bank financial intermediaries, electronic payment service providers) engaging in virtual asset transactions or facilitating their use via payment cards and e-wallets, citing the Anti-Money Laundering and Counter-Terrorist Financing Law No. 39 of 2015 as its legal basis. Identified by exact circular number and date via a consistent secondary legal source; cbi.iq's own published circular was not directly fetched in this pass, and no tax authority source addressing crypto was located.
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