Topic: Do traders pay income taxes? - page 16. (Read 1578 times)
You don't have to be a registered company, but there can be advantages if you are. other hand crypto trader are pay their tax based on their income. but it is more difficult to track income.
It depends on the country. Many of them are going to impose taxes on mining, trading and so on.
I'd like to start trading, but what happens when you get profit from a new coin? you pay taxes as individual (like capital gain) or you must open a registered company?
My friend does not have to pay taxes for doing trader. That's why so many people in my country do that. But the risk of doing trader is very high, we should find out before participating.
I believe it relies upon impose enactment of their citizenship. In Belarus for instance, crypto is out duty you don’t need to pay assessments and your can have mining firm no expenses
It all depends on the country in which you live. Personally, I can trade as much as I want and will not pay taxes, but at the same time the tax will have questions to me if I withdraw too much money on the cards.
yeah thats, right. depending their systems if they had a lot of regulations. but here in my county all traders here i think is freely do what they want and not paying taxes at this time. maybe soon. not sure!
It all depends on the country in which you live. Personally, I can trade as much as I want and will not pay taxes, but at the same time the tax will have questions to me if I withdraw too much money on the cards.
I think it depends on tax legislation of their citizenship. In Belarus for example, crypto is out tax, you dont need to pay taxes and your can have mining firm - no taxes
I'd like to start trading, but what happens when you get profit from a new coin? you pay taxes as individual (like capital gain) or you must open a registered company?
You don't want anyone to ask you for taxes for your trading since you can obviously lose sometimes. But I know that trading platforms do pay taxes and those platforms costs you fees for taxes.
if I personally do not pay taxes from my trading income, because I think trading is still illegal in my country so there is no reason for me to pay taxes.
In what country do you live? In my country it's not illegal but not considered a legal. Personally I don't think if we should pay a taxes because we know that cryptocurrency is anonymous, decentralized and not controlled by our government. And it depends on our place but for me it's better to pay taxes.
Cryptocurrency traders are usually only required to pay taxes on their profits, however it is quite difficult to track how much profit these people are earning, therefore there is a lot of scope for underestimation of tax owed, whether intentional or otherwise. However, a lot of exchange actually report directly to the IRS, so it might not be long until they get an unpleasant surprise.
if I personally do not pay taxes from my trading income, because I think trading is still illegal in my country so there is no reason for me to pay taxes.
I'd like to start trading, but what happens when you get profit from a new coin? you pay taxes as individual (like capital gain) or you must open a registered company?
You don't have to be a registered company, but there can be advantages if you are. For example mining coin can be taxed as income and have tax benefits if you are a company because you can write off a ton of expenses like electricity cost or cost of equipment ect.
When it comes to trading the question to your answer can be pretty broad, if you are serious about trading you should do some research first and be prepared.
When you make profit it will be considered capital gains, either long or short. Long term is more than 2 years (I think) and short term is less than that. Long term capital gains is like %10 on only your gains. Short term is more, I think 20%.
It will also depends on your country, in the USA we are expected to pay taxes on crypto to crypto trades, so you should definitely keep good track of all your trades.
If I were you I would skim through this reddit post, there is a lot of good information in there:
https://www.reddit.com/r/CryptoCurrency/comments/7nzqky/2017_taxes_we_need_to_get_serious/
I'd like to start trading, but what happens when you get profit from a new coin? you pay taxes as individual (like capital gain) or you must open a registered company?
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