Anyone who thinks that had better double and triple check down their local tax office. In the US and UK at least there is absolutely no difference between moving into USD or USDT. Both are classed as a disposal.
I'll bet there are thousands upon thousands of traders who have unknowingly run up humongous tax bills believing they're somehow immune because it's crypto. Not so. Hopefully they'll get away with it.
I'll bet there are thousands upon thousands of traders who have unknowingly run up humongous tax bills believing they're somehow immune because it's crypto. Not so. Hopefully they'll get away with it.
What about BTC/ETH trade? Why is it different if they both are crypto/crypto. US and UK crypto law is fucked up
In my country it is like - if you bought crypto for a fiat currency or good (e.g. you sold a washing machine for BTC) in a given accounting year, you enter it as a cost during the settlement. If you have sold for fiat or good currency (e.g. you bought a washing machine with bitcoin) then you give it as profit. Then you pay tax on profit (difference of these values). Its great because if you minted, get from airdrop or whatever you don't need to do anything ... just report it while selling to fiats as income.
But its like that starting from 2019. In 2017 for instance we had to pay 1% TAX (Tax on Civil Law Activities) from each trade and fill sepeare form for that. You bought BTC for USDT (1% tax), ETh for BTC (1% tax), sold ETH for USDT (1% tax). Imagine if you did not through about that and you were daytrader or scalper that day getting 0.2-1% from each trade and paying 2% in taxes (-1% net profit from each trade). Insane.