Anyone interested in how to avoid tax on crypto:
I summed up the best solution I could find here:
https://bitcointalksearch.org/topic/0-tax-when-cashing-out-crypto-5080391
Topic: How do I avoid tax on crypto - page 4. (Read 18699 times)
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If I make money on crypto currencies. How do I avoid as much tax as possible?
Why you try to avoid crypto tax? If you accept the crypto tax for the government, then it is likely that the government will have positive thoughts about bitcoin and cryptocurrency. If the government wants people to pay the crypto tax, then I will certainly pay taxesthat is right, we need to obey the government rules and I am sure that we are safe and we don't have to break any law in our country. it is better to pay the tax for cryptocurrency then to go jail because we don't pay the tax. besides that, we can free to use cryptocurrency and we don't have to worry about anything because we are following the government suggestion and we can show to other people that we are still paying the tax.
There are legitimate ways to minimise your tax liability and there is tax evasion, sometimes the boundaries between the two are unclear. How you minimise your taxes depends very much on your country of residence as each country has it's own regulations. Remember tax evasion is illegal and could land you in jail.
As you are not trading in a physical product, the situation is even more complex. Additionally the way you structure your trading will depend on the amount of the trades and the volume of trades-it would be pointless setting up an expensive, complex but legal structure to minimise your tax if you are only making a few hundred or even couple of thousand dollars per year, as the cost will wipe out your profit.
Realistically-you need to allow $2500-5000+ to set up the structure and $1500+ per year to maintain (excluding any accountants and legal advise).
Think carefully, take sound advise from your accountant and legal adviser before getting in to deep, it could cost a whole lot more if you get it wrong and don.t seek professional advise.
As you are not trading in a physical product, the situation is even more complex. Additionally the way you structure your trading will depend on the amount of the trades and the volume of trades-it would be pointless setting up an expensive, complex but legal structure to minimise your tax if you are only making a few hundred or even couple of thousand dollars per year, as the cost will wipe out your profit.
Realistically-you need to allow $2500-5000+ to set up the structure and $1500+ per year to maintain (excluding any accountants and legal advise).
Think carefully, take sound advise from your accountant and legal adviser before getting in to deep, it could cost a whole lot more if you get it wrong and don.t seek professional advise.
If I make money on crypto currencies. How do I avoid as much tax as possible?
Simple
1. Move to a country that has 0 taxes or lower taxes on gains made from crypto trading.
2. Sell your coins for cash directly in person, then stash the bills under the mattress.
3. Hire a pretty good lawyer specialized in this....
Depending on which country you live in you might get away with the second option...or end up in jail.
It would also be nice if you would tell us where you're from...
Since it's one thing if you live in the US or Moldova.
And which countries will have 0 tax on cryptocurrency? I know Germany has, but you need to hold crypto for at least year to be able to avoid taxes.
It depends on your governments law. Most country have not yet legalize bitcoin, therefore, they do not have the power yet to collect taxes on it when you do transactions on bitcoin. Once a government legalizes or regularizes the use of bitcoin, then the government can impose tax on it, when this happens it is better to pay the taxes you are required to pay rather than avoid it to prevent sanctions.
i am new on crypto. doing work,how to avoid tax on coins when i got coins?
You can buy cryptocurrency as a resident of Puerto Rico
If you’re not old enough to have a large retirement account, and don’t want to lock up a couple million dollars in a life insurance policy, then consider moving to the US territory of Puerto Rico. The Caribbean island of Puerto Rico has a tax deal you can’t refuse!
We US citizens are taxed on our worldwide income. No matter where we live, we must pay US tax on our capital gains, including gains from cryptocurrency. The only exception to this rule is found in the US territory of Puerto Rico.
Why go to Puerto Rico yourself? It is enough to have someone familiar there and work through his account. There are also many other countries in which the government is not interested in cryptocurrencies at all. You need to have a lot of friends around the world and then the problem of taxes you will not. If you’re not old enough to have a large retirement account, and don’t want to lock up a couple million dollars in a life insurance policy, then consider moving to the US territory of Puerto Rico. The Caribbean island of Puerto Rico has a tax deal you can’t refuse!
We US citizens are taxed on our worldwide income. No matter where we live, we must pay US tax on our capital gains, including gains from cryptocurrency. The only exception to this rule is found in the US territory of Puerto Rico.
You can buy cryptocurrency as a resident of Puerto Rico
If you’re not old enough to have a large retirement account, and don’t want to lock up a couple million dollars in a life insurance policy, then consider moving to the US territory of Puerto Rico. The Caribbean island of Puerto Rico has a tax deal you can’t refuse!
We US citizens are taxed on our worldwide income. No matter where we live, we must pay US tax on our capital gains, including gains from cryptocurrency. The only exception to this rule is found in the US territory of Puerto Rico.
If you’re not old enough to have a large retirement account, and don’t want to lock up a couple million dollars in a life insurance policy, then consider moving to the US territory of Puerto Rico. The Caribbean island of Puerto Rico has a tax deal you can’t refuse!
We US citizens are taxed on our worldwide income. No matter where we live, we must pay US tax on our capital gains, including gains from cryptocurrency. The only exception to this rule is found in the US territory of Puerto Rico.
If I make money on crypto currencies. How do I avoid as much tax as possible?
Why you try to avoid crypto tax? If you accept the crypto tax for the government, then it is likely that the government will have positive thoughts about bitcoin and cryptocurrency. If the government wants people to pay the crypto tax, then I will certainly pay taxes
I suppose the government will not push micro earners to pay taxes from crypto profit. So if you are one of them you have nothing to worry about. I do not see anything bad in taxation of crypto profit, if my government will make it necessary I will pay, what else to do?!
In the legislation of Great Britain, a loophole was discovered that allows crypto-investors to classify crypto-currency profits as "income from gambling". Having declared their income as a "gambling winnings", the British can not pay any taxes.
If I make money on crypto currencies. How do I avoid as much tax as possible?
If Bitcoin is legal in your country then it is impossible for you to avoid paying Bitcoin tax because of regulation in which the tax will be collected in your local exchanges that every time you convert your Bitcoin to your local paper money it will be subject for Bitcoin tax which is really unavoidable because every local exchanges are oblige to submit every Bitcoin transaction as per regulation policy. Except if Bitcoin is not legal and not ban like in our country then for sure you will going to enjoy earning Bitcoin without tax.
Paying taxes on income from ceyptocurrencies means cryptos are legal and government accepts cryptos as legal tender and Governments have established rules and guidelines about cryptos and therefore you are secured to invest. So i don't think one should avoid paying taxes on cryptos.
Is there a Dutch thread on this subject? Because I read a little bit on the dutch tax system, from what I understand, it's pretty relaxed 
you may check local boards 
good for you if your tax system is a bit relax on crypto profits, most 1st world countries have a serious law on taxation when it comes to crypto market because they notice a large number of people getting a good wealth in the past years.
That said, I have heard whispers that they are going to change and adapt this in the near future, but whether that happens or not is something these.
Is there a Dutch thread on this subject? Because I read a little bit on the dutch tax system, from what I understand, it's pretty relaxed
you may check local boards good for you if your tax system is a bit relax on crypto profits, most 1st world countries have a serious law on taxation when it comes to crypto market because they notice a large number of people getting a good wealth in the past years.
It depends upon the laws of your country. For crypto tax is available in your country then it is good to pay tax. If you earn money but your are not ready to pay tax means it is scam and you have to face lot problems. I thinkmost of the countries are not announced tax for crypto currencies. So check with your country rules and regulations and act according to that.
Very actual issue! But with the launching of regulation, tax evasion will become more and more difficult. How to cash out the profit? After all, the banks are at the same time with the tax authorities!
Is there a Dutch thread on this subject? Because I read a little bit on the dutch tax system, from what I understand, it's pretty relaxed
The statement says that “taxpayers could be subject to criminal prosecution…Anyone convicted of tax evasion is subject to a prison term of up to five years and a fine of up to $250,000.”
Does it make sense that you are subject to these barbaric threats when you are just protecting yourself from the biggest thief on the planet (ie, the government)? Instead of making me pay tax, these threats once again convince me NOT to pay tax. I am not here to financially support governments to extort people. The more we pay, the stronger they become.Unfortunately, few people understand how to account for cryptocurrency gains on their tax returns.
It's not all that difficult, but in most cases people think that just because governments don't explicitly refer to crypto, or that it isn't legal yet, they don't have to pay tax, which is completely wrong. Some even think that due to crypto's 'anonymity' they can freely do everything they want without paying tax.
There are two things to consider: firstly all the essential services that you use come out of the taxes you pay-so morally and ethically you should pay tax.
But if you want to avoid them it will depend on how much you are making and where you live how you do it. For example: it is possible to set up an offshore company with bank account with bearer shares (no names on them) with nominee officers for a couple of thousand dollars the bank will still want to do it's due diligence but it's not a major difficulty to pass. You then need to work out how your going to spend all this money without attracting attention-it's no point putting on your tax return that you are making for example ($50,000 per year) and then drive around in a Rolls Royce or Ferrari!
Offshore companies have been for decades, and are still used by the rich and by businesses to minimise their tax burden. PM me if you need more info.
But if you want to avoid them it will depend on how much you are making and where you live how you do it. For example: it is possible to set up an offshore company with bank account with bearer shares (no names on them) with nominee officers for a couple of thousand dollars the bank will still want to do it's due diligence but it's not a major difficulty to pass. You then need to work out how your going to spend all this money without attracting attention-it's no point putting on your tax return that you are making for example ($50,000 per year) and then drive around in a Rolls Royce or Ferrari!
Offshore companies have been for decades, and are still used by the rich and by businesses to minimise their tax burden. PM me if you need more info.
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