As we all know cryptocurrencies have become a very popular thing within the last couple of years, especially during this last year with the pandemic hitting the world and forcing many people to look for jobs and ways to earn money online. With this popularity, cryptocurrencies have attracted the attention of governments because billions of dollars are flowing into the market and until recently everyone was doing it for free without paying any taxes. But in the recent months more and more governments started to adopt laws and regulations regarding cryptocurrency trading and how it is taxed. What the situation in your country? Are you required to pay taxes for cryptocurrency trading, if yes than what kind of taxes is the government asking for?
sincerem
VIP Contributor
Ere in my country it is a partial ban, but not ban complete like your own country India did. But we all know that crypto is beyond ban as long as the whole world still recommend it as option for legit investment. Even if few delist it, their is every possibility that those from your country including you, can still trade it, bypassing your country's insistence on the ban.
ritajane21
Member
It is ban in India. But some countries allow these transactions for this.
Alexandoy
VIP Contributor
sincerem
VIP Contributor
That means I'll spend money i suffered for months to share with the govt. It is better to call them assist me trade so we can have share of the spoil, i can't be working like elephant and another person is just behind trying to suck out large sum of my earnings doing nothing. That will result in me, earning like an ant, after working hard. I don't think such kind of taxation will be considered. I'm looking at at max 5%.
Finger Geek
Verified member
I don't think they will want to collect task per successful trade. Because it will be unjust. If they take that much, then how much will individuals be making as there own profit. It means we will be working for the government.
The only way I think they can collect task is through withdrawals. On every withdrawals is the only way.
sincerem
VIP Contributor
Who does that, i don't think the govt can charge that amount as tax for traders. If they do, then it will bring about massive exodus indeed. 30% is whopping for every traders, how much did they usually make that will prompt the govt to charge such amount of money. If I'm charged that amount per successful trade i make I'll just leave the market for them to trade.
Finger Geek
Verified member
I agree with you. Since the implementation of KYC verification. It is now easy for government to track our trading record. This will give them access to impose taxes on every trade we make or on profit made on trades made. If they are to start collecting tax. Then 30% will be too high of a tax to collect.
sincerem
VIP Contributor
Honest the fee taxed by the exchange sites for crypto transactions is enough though. We don't need extra charges around crypto if not, it will make lots of people losing interest if the charges are very high. Even if some countries include charges around crypto transactions, it shouldn't be high in order not to cause uproar or raise eye brow concerning such addiction of charges.
marcusfe
Active member
Currently cryptocurrency transaction is not tax in Nigeria but with the situation of things, I think the government may resolve to that. Presently the central bank has placed a ban on the use of cryptocurrency in the country and many business mongoose have been agitating for the lifting of the ban. The government mar decide to be taxing every transaction that involves cryptocurrency before they can decide to lift the ban.
btaliat
VIP Contributor
I would even prefer it if it is banned than the regulation they introduce in my country. I think it is only the United States that introduced tax on his cryptocurrencies users. In Nigeria, no tax is introduced but the government has ordered bank never to allow cryptocurrencies users to use banking transactions.
Banning cryptocurrencies I think it's even worse than requiring taxes for trading them. Because now people are not allowed anymore, at least legally, to trade cryptocurrency in your country. At least before you could trade and make some profit, even if the profit is lower because you have to pay taxes from it, it is still much better than not making any profits at all
Chibson
VIP Contributor
To the best of my knowledge, cryptocurrency transactions are not taxed in my country andI have not heard anything about taxation relating to cryptocurrencies in my country. About some months ago the government of my country banned the operations of cryptocurrencies and this has affected so many people but of course there is always an alternative to everything.
D
dollar_yogi
Guest
Not yet but the way it is trending, it'll be very soon I guess!
Don't worry, governments are not stupid and they always find a way to take advantage of people's money and collect taxes from their profits. From what I know governments now force exchanges to provide them the data of each verified user on their platform. This means they'll get access to all your transactions, trades, they'll know how much money you've invested and how much profit you've made and this way they'll know how much tax you are supposed to pay to them
Yugocean
Valued Contributor
Honestly a government can only tax on its own currency, all foreign currencies have to be notified for exchanges and there tax is calculated on exchange. No government have any blockchain or wallet address to tax crypto currencies, these thousands of cryuptos and blockchain transaction will become a headache for government.
Then it's pretty cool for you at the moment. In most of the big countries they are already asking for taxes from traders and sometimes this taxes are not even low because they can ask for up to 25-30% of your profits. After all it looks like cryptocurrency is not as anonymous anymore since all exchanges require KYC these days so governments can easily track your cryptocurrency transactions
millionsrus
New member
not yet but i dont know what they will do in the future
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