Topic: Taxes - page 2. (Read 689 times)
declare the profit as capital gains when you cash out you as would with gold or anything else
In the US that is what people are taxed as. The US has deemed crypto to be an asset and not cash or currency in any form, like gold or other precious metals. The only thing is what capital gains you would have to be taxed at, short or long term capital gains. If you've held on to the crypto for over a year it's significantly less on the capital gains than if you tried to make a quick buck.
In Japan, currently tax is applied when some cryptocoin is changed to another, not only to fiat. Moreover, the highest tax rate is 50%! The tax regulation of cryptocurrency is not built yet and it is considered to be 'other income'. This high tax is an obstruction against cryptocurrency world. But Japanese government's position is quite friendly toward cryptocurrency for now. I expect that the same tax regulation as stocks and FX will be applied in near futere, and I think this is the most fair and positive way.
So my question is... What do we want, in the US and everywhere, as a proper tax scheme for crypto?
Nowadays, everyone will agree that Bitcoin is behaving more like an investment asset rather than as a currency. So my opinion is that any profits from crypto-to-fiat trade must be treated as capital gains. Depending on the duration of the investment, we can classify the gains as short term capital gains or long term capital gains and tax them accordingly.
I think this is what will end up happening no matter what. It would be awful if crypto was taxes as income and not capital gains. It would be even worse if countries just decide to ban crypto altogether because they don't want to understand it. The US IRS already has some rules regarding crypto, but if I remember correctly only 200 or so people actually claimed crypto capital gains on their taxes last year. I wouldn't be surprised if this year there is a big crackdown.
So my question is... What do we want, in the US and everywhere, as a proper tax scheme for crypto?
Nowadays, everyone will agree that Bitcoin is behaving more like an investment asset rather than as a currency. So my opinion is that any profits from crypto-to-fiat trade must be treated as capital gains. Depending on the duration of the investment, we can classify the gains as short term capital gains or long term capital gains and tax them accordingly.
So my question is... What do we want, in the US and everywhere, as a proper tax scheme for crypto?
That is an easy one. We want there to be 0% tax but what we want and what should happen are two different things. What should happen is that you should pay whatever normal tax is applicable, but this is vastly different
from what we as traders would want.
I know, you're bored already. However, taxes are becoming extremely important in the crypto world. If you don't want to have a China regulation issue throughout the world, taxes need to be discussed now. As a business owner I know you need to get out ahead of the politicians or your entire enterprise can get shut down.
So my question is... What do we want, in the US and everywhere, as a proper tax scheme for crypto?
I think that crypto should be fair game for taxes the same as any other currency or asset. It should be up to the individual or corporation to pay their fair share. Just because you can potentially hide money doesn't mean you should. This was the same back i n the day when "Cash was King".So my question is... What do we want, in the US and everywhere, as a proper tax scheme for crypto?
I am not advocating for taxing crypto, or I am not saying that all tax systems are fair - I am just saying that it should be fair game.
I know, you're bored already. However, taxes are becoming extremely important in the crypto world. If you don't want to have a China regulation issue throughout the world, taxes need to be discussed now. As a business owner I know you need to get out ahead of the politicians or your entire enterprise can get shut down.
So my question is... What do we want, in the US and everywhere, as a proper tax scheme for crypto?
So my question is... What do we want, in the US and everywhere, as a proper tax scheme for crypto?
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