From my understanding lets say you start trading with 1 Bitcoin and you are trading on BTC/USDT, you end up with 2 BTC, you would now owe the capital gains and income tax on that 1 Bitcoin profit even though it is not a realised gain to fiat yet (the only time it is realised is when it has been sold to usdt to trade). It makes no sense to me as with stocks for example you only pay tax once fully sold to fiat.
Crypto is only worth what someone will pay for it so if you did an over the counter deal for that BTC and got pennies backwards, technically that would mean you only owe tax on that amount as that was the final sale amount of it? It is like if you had been trading gold in person and lets say went from 1oz to 2oz but sold the 2oz cheap?
The only time bitcoin should be taxed is when it is sold right to fiat in my opinion, am I right by thinking of this or am I being to picky?
[link] [comments]
You can get bonuses upto $100 FREE BONUS when you:
π° Install these recommended apps:
π² SocialGood - 100% Crypto Back on Everyday Shopping
π² xPortal - The DeFi For The Next Billion
π² CryptoTab Browser - Lightweight, fast, and ready to mine!
π° Register on these recommended exchanges:
π‘ Binanceπ‘ Bitfinexπ‘ Bitmartπ‘ Bittrexπ‘ Bitget
π‘ CoinExπ‘ Crypto.comπ‘ Gate.ioπ‘ Huobiπ‘ Kucoin.
Comments