Topic: Tax free crypto idea (Read 458 times)
пpивeт y мeня oднa пpoблeмкa ктo мoжeт пoмoчь мeня paзвeли нa биpжы кoe кaкиe дeньги cмoгли вытaшить мoжeт этo oпять paзвoд я нe знaю дeньги ceйчac нa Ufadex кaшeлькe этo в USA мoжeт ктo знaeт иx я пытaюcь вывecти иx нo oни xoтят нaлoги xopoшo cдeлaл тeпepь xoтят cтpaxoвкy нe мaлeнкyю и мoжнo oбoйти чepeз IBAN нo мнe нaдo иx в Гepмaнию пepeвecти a нaшы бaнки c кpиптoй нe oчeн дpyжaт a oни тoлькo в кpипти мoгyт oтпpaвить ecть кoкoйнибyдь вapиaнт и вoбшe ктo нибyдь cтaвкивaлcя c тaкoй пpoблeмoй или этo oпять paзвoд cyмa нe мaлинкae мoжeт ктo пoмoчь
A person does not realize that there are no statutes of limitations for tax crimes in America.
The person does not realize that a tax-free gift has limitations and that the gift must be given to a close relative. In my country this is son, daughter, wife, parents, brothers, sisters, grandparents. In other cases the gift is taxable.
I don't understand how to give gifts to myself. Then he needs to open an account in Switzerland for another close relative, but the US tax office can still order an audit of any tax return.
The person does not realize that a tax-free gift has limitations and that the gift must be given to a close relative. In my country this is son, daughter, wife, parents, brothers, sisters, grandparents. In other cases the gift is taxable.
I don't understand how to give gifts to myself. Then he needs to open an account in Switzerland for another close relative, but the US tax office can still order an audit of any tax return.
Are you looking for a legal tax loophole, or are you looking for tax evasion?
Aren't they the same in the basic sense?Are you looking for a legal tax loophole, or are you looking for tax evasion?
Aren't they the same in the basic sense? The only difference is that you don't get to prison and only the billionaires can do those loopholes because they know the work around? At least that's what I think is the difference between the two really similar thing.To OP, I think you can probably get away with taxes in a way by doing P2P with your bitcoin, I don't know if it's the same with other countries but when I do sell my crypto in a P2P market, it's always going smooth and no taxes were needed to be paid because you're directly doing transactions with a person.
Tax loophole. Not evasion. I think it’s the perfect scenario.
Tax loophole is nothing but a tax evasion. Loophole means that you are trying to find a legal way to save your tax but whatever way you will adopt, you will be manipulating with the law. If tax loophole was legit then everyone would have saved the taxes.
Secondly, have you ever thought that if you are ever caught in the further and the authorities come to know how you manipulated the law to find a loophole (as per your words), they can take legal actions against you. If the money you are hiding from the government is significant it can be easily traced when you will buy property, cars or assets with it and you haven't declared that money before in the income tax returns.
I assume you meant you set up a wallet on a crypto exchange. In that case, the exchange has full view and control over your deposited funds and your identification documents. They are also going to give that information to your government. And if they decide to freeze your account and your funds, there will be nothing you can do to stop them.
Most likely he means a central exchange, especially since he says that he used an American passport, an American tax identification number, and an American bank account. This means that he completed the KYC on a central exchange.If this is true, then it is unfortunate that he does not know the difference between a wallet and a central exchange, or perhaps there is a possibility that he used a central wallet, which is bad in both cases, especially since he is thinking about tax evasion.
I set up a wallet using a Switzerland address. But I used my American passport, American tax id #, and American bank account. If I buy and sell crypto (in Switzerland, because my address is a Swiss address), are there no capital gains technically? Then I simply deposit the funds to my bank account tax free? Is this true?
There is no such thing as a wallet with a physical address. It is your wallet and unless you let somebody know that it is your wallet then they will not know who the wallet belongs to or where it was set up.
I assume you meant you set up a wallet on a crypto exchange. In that case, the exchange has full view and control over your deposited funds and your identification documents. They are also going to give that information to your government. And if they decide to freeze your account and your funds, there will be nothing you can do to stop them.
Stay away from centralized/custodial exchanges and/or wallets.
Boils down to the person making the trades and who owns the assets. If you want to save on taxes, then put a structure in place that is more tax efficient. That person does the trades - pays its taxes, then pays you your salary (on which you pay your taxes).
Since you said finding and using taxation loopholes is not tax evasion, are their agencies where people legally go to acquire the services of a tax loophole specialist?
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It seems that the loopholes are normally used by the rich and not an average citizen. At a point the government will even help you to discover existing loopholes for you.
It seems that the loopholes are normally used by the rich and not an average citizen. At a point the government will even help you to discover existing loopholes for you.
As for:
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At a point the government will even help you to discover existing loopholes for you.
No they won't. That is the job of folks like H&R Block et al who prepare your taxes. The only problem with them is that said companies will go strictly by-the-book and will NOT try to push the limits of what you can deduct. Their primary job is to be sure you have no problems with filing your taxes - not work with you in setting up your finances.However that said, many tax attorneys and most high-priced tax consultants are former IRS agents who have deep knowledge of tax law so they know what you can and cannot get away with to reduce tax exposure. Remember, the definition of 'loophole' is an ambiguity or inadequacy in the law or a set of rules -- in other words they deal with very specific situations where the law is not clear and they will structure your finances so questions and subsequent rulings from the IRS (usually) go in your favor. They are very good at what they do and charge accordingly (not cheap!).
It is a very crude way of trying to evade taxes. If you do not have tax residency in Switzerland what you are doing is breaking the law. As long as you have US tax residency, if you buy a dog shit in Mogadishu for $1 and sell it for $1M you owe capital gains tax to the IRS. And that you are going to make a gift to yourself with the $999,999 you made from selling the dog shit has all the earmarks of a ridiculous attempt to evade taxes.
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What some people will call tax loopholes is what they will use to evade tax without being noticed or detected.
Wrong.A loophole is an unusual but still legal way to reduce tax exposure by using, well, loopholes in the existing tax laws. It should be noted that using loopholes typically increases the attention of tax authorities because they will do their best in trying to prove the loopholes do not apply to you. That said, with proper care in setting up your accounting procedures and keeping good documentation you can prove that you are working within the laws.
Evasion is an outright breaking of the laws.
I'm not an expert of tax laws but I'm very sure that someone with American passport won't be able to dodge the government with the tax loopholes. I know what you said isn't tax evasion at all but you won't be able to find such loopholes easily.
It seems that the loopholes are normally used by the rich and not an average citizen. At a point the government will even help you to discover existing loopholes for you. 
I don't think you'll be able to make your crypto tax free. The best way to make your crypto tax free is by hiding it from the government and that will fall into tax evasion somehow, and such act may break the laws.
I'm not an expert of tax laws but I'm very sure that someone with American passport won't be able to dodge the government with the tax loopholes. I know what you said isn't tax evasion at all but you won't be able to find such loopholes easily.
I'm not an expert of tax laws but I'm very sure that someone with American passport won't be able to dodge the government with the tax loopholes. I know what you said isn't tax evasion at all but you won't be able to find such loopholes easily.
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What some people will call tax loopholes is what they will use to evade tax without being noticed or detected.
Wrong.A loophole is an unusual but still legal way to reduce tax exposure by using, well, loopholes in the existing tax laws. It should be noted that using loopholes typically increases the attention of tax authorities because they will do their best in trying to prove the loopholes do not apply to you. That said, with proper care in setting up your accounting procedures and keeping good documentation you can prove that you are working within the laws.
Evasion is an outright breaking of the laws.
Tax loophole. Not evasion. I think it’s the perfect scenario. Buy and sell with Swiss addressed wallet, gift the cash to American Coinbase.com and cash out, tax free, but report the gift on American tax return.
So you want to give yourself a gift for tax reasons? I don't know much about US tax laws, but this sounds a lot like tax evasion.
If you don't have a lot money or business, your option would be very limited to find the loophole. The most easiest way is to hold at least a year and earn up to $47K.
If you have business you can manipulate your financial statement, you can use religious organization or charitable organization to exempt tax.
But, it's only for the rich, for low or middle class people you can use the first one or use Cash by Mail method.
If you have business you can manipulate your financial statement, you can use religious organization or charitable organization to exempt tax.
But, it's only for the rich, for low or middle class people you can use the first one or use Cash by Mail method.
In my country, tax will still be charged, because every person who is registered will automatically be deducted from tax, and in one year there will also be personal tax imposed but with the applicable provisions, especially if we buy property, of course we will know at least how much The amount of income we earn, therefore I think it depends on the tax regulations in your place
I set up a wallet using a Switzerland address. But I used my American passport, American tax id #, and American bank account. If I buy and sell crypto (in Switzerland, because my address is a Swiss address), are there no capital gains technically? Then I simply deposit the funds to my bank account tax free? Is this true?
It depends which country you are a citizen of.If you are an American citizen, I don’t think it matters where your income was made. You are going to have to pay in us dollars as they impose their tax laws to you. Especially if your bank account is also American.
If you want to follow Swiss laws as an American citizen, you are going to have to file something of a foreign asset.
Tax loophole. Not evasion. I think it’s the perfect scenario. Buy and sell with Swiss addressed wallet, gift the cash to American Coinbase.com and cash out, tax free, but report the gift on American tax return.
So you want to give yourself a gift for tax reasons? I don't know much about US tax laws, but this sounds a lot like tax evasion.also gifts have a monetary limit too
I'm not US-based, but here gifts from abroad are tax-free without a limit. However, if you claim to have received a $10M gift from someone, you can expect a lot of questions and better have your paperwork in order. 
So what about if I sell them with my Swiss-addressed wallet, then gift the cash to my American addressed Coinbase.com account? There’s no tax in America on gifts received. But they do have to be reported.
So this is a good idea? Buy and sell with Swiss addressed wallet, then gift to American Coinbase.com and cash out tax free, reporting my income as a gift on my American tax return?
coinbase wont report it on their end as a "gift" and so when they do their compliance reporting on their customers the IRS sees the value as not a gift. so when you try to declare it as a gift on your own tax filing it will cause a discrepancy which can trigger a tax audit of all your other financial activities
this is where evasion and avoidance are different.
you making up reasons that dont match the bureaucracy the IRS gathers from other sources causes evasion suspicions. where as having proof of for instance a loan, then works in your favour.
you cant just gain profit and declare it as a gift to yourself. and services like exchanges wont declare their withdrawals to you as gifts
also gifts have a monetary limit too
you really should seek advice from a professional tax adviser to avoid the trouble of tax evasion
Tax loophole. Not evasion. I think it’s the perfect scenario. Buy and sell with Swiss addressed wallet, gift the cash to American Coinbase.com and cash out, tax free, but report the gift on American tax return.
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