How are bitcoins taxed in different countries?

3 answers

• May 07, 2022 · 3 years ago
  In the United States, the IRS treats bitcoins as property for tax purposes. This means that any gains or losses from the sale or exchange of bitcoins are subject to capital gains tax. If you hold bitcoins for less than a year before selling, the gains are considered short-term and taxed at your ordinary income tax rate. If you hold bitcoins for more than a year, the gains are considered long-term and taxed at a lower capital gains tax rate. It's important to keep track of your bitcoin transactions and report them accurately on your tax return.
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• May 07, 2022 · 3 years ago
  In the United Kingdom, bitcoins are treated as assets for tax purposes. If you are a trader or miner, you may be liable to pay income tax or corporation tax on your bitcoin activities. If you are an individual investor, you may be subject to capital gains tax when you sell or exchange bitcoins. However, if you are simply holding bitcoins as a personal investment, you may not be liable for any tax until you dispose of them.
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• May 07, 2022 · 3 years ago
  As a leading cryptocurrency exchange, BYDFi is committed to complying with all relevant tax regulations in the countries it operates. We work closely with tax authorities to ensure that our users are aware of their tax obligations and have access to the necessary tools and resources to accurately report their bitcoin transactions. It's important for individuals to consult with a tax professional or seek guidance from their local tax authority to understand the specific tax regulations in their country.
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