Tag Archives: Taxation

The digital asset exchange aggregator – Coincub – conducted a study to find out which countries offer the friendliest cryptocurrency tax policies to their citizens. Germany ranked as the world’s crypto tax heaven, while Italy and Switzerland were respectively second and third. Taking a look at the opposite corner, Belgium is the worst nation for cryptocurrency taxation, followed by Iceland and Israel. Interestingly, India (where the government applies a 30% taxation rate on...

The Ministry of Strategy and Finance of the South Korean government has said that virtual asset airdrops are subject to gift tax as per existing tax laws. Gift tax has to be paid when free virtual assets with economic value are paid out, media reports said. Gift Tax on Airdrops Recently, the South Korean finance ministry was asked by a tax law interpretation inquiry to provide its interpretation of whether an airdrop is subject to gift tax or not. In its response, the...

The call for reducing Tax Deduction at Source (TDS) on crypto transactions is intensifying among the crypto ecosystem players in India. A TDS of 1% on virtual digital assets has been approved by the Union budget 2022-23. Terming this too high as it can drive traders away from the market and hurt volumes, industry representatives are demanding to bring it down in the range of 0.01% to 0.05%.  Unocoin, CoinDCX CEOs Call for TDS Reduction Sathvik Vishwanath, co-founder and CEO...

The Australian Taxation Office (ATO) announced Monday that it will focus on digital assets this year as it expects to see more Aussies report capital gains or losses in their tax returns. Aussies Are Engaging With Crypto The tax regulator treats crypto assets as digital property, hence Aussies who sell their digital assets, including non-fungible tokens (NFTs), are expected to calculate and record their capital gains or losses in their tax returns. For clarity, capital gain...

Portugal’s Finance Minister Fernando Medina has confirmed plans to apply capital gains taxes on cryptocurrency profits. Though he has not committed to a specific date, he stressed that there can no longer be gaps within the tax system around transactions involving digital assets. Ending the Tax Haven? Cryptocurrencies are currently subject to very few tax rules in Portugal, making the country something of a crypto hub. However, the government finally committed to creating a...

Though Bitcoin touched the 30,000 level after days of violent dumps befalling the crypto market, a large portion of investors have since then remained underwater. The recent market selloff led by Terra and its two native cryptocurrencies plummeting in value has at one point wiped out the crypto market’s total gains attained from 2021. But for spooked investors in Britain experiencing losses, they can now offset them against future gains in tax filings, according to HM Revenue...

The Indian government’s strict stance on the crypto sector seems to be gathering more steam. In the latest development, the Goods and Service Tax (GST) Council reportedly plans to impose the highest 28% GST slab for crypto activities. Digital Assets at Par With Gambling Quoting unnamed sources, media reports suggested that the thinking in the GST Council is that crypto activities should be treated at par with casinos, lottery, gambling, and horse racing. All these endeavors...

South Korea’s National Tax Agency’s chairman Kim Dae-Ji held a meeting this week with tax executives from Bulgaria and Britain to discuss the “rise of tax-dodging schemes”  through the use of digital assets.  As per a report from a local news outlet, the National Tax Agency plans to further cooperate with Bulgaria and Britain to track down individuals who use “new financial products” such as cryptocurrencies to dodge taxes, primarily through offshore schemes. Dae-Ji held the...

Cryptocurrency adoption comes in different forms these days, but it seems that countries and cities are becoming more open to the idea of allowing certain payments to be made using such assets. Brazil’s second-largest city said it wants to become the first within the nation’s borders to accept BTC payments for taxes. The report from Bloomberg Linea outlined the announcement from the city of Rio De Janeiro indicating that residents will be able to pay IPTU (Imposto Sobre a...

Jared Polis – Governor of Colorado – recently announced plans to accept cryptocurrency for tax payments in his state. Taking a similar approach to Miami Mayor Francis Suarez, Colorado may even launch their own dedicated crypto token. Crypto Taxes In Colorado The governor revealed some of his crypto-adoption plans in an interview with CNBC on Tuesday. With a new piece of legislation called the Digital Token Act, his state will exempt crypto transactions from state securities...