Who forces you to use exchanges?
Chia has got exchange already in…I already traded for USDS…there is P2P, Darknet. That is whole point of crypto, and you guys still using like fiat nursery. I really laugh about USA right now (the land of free) because they will get screw up big time in no so distant future.
gUSD is around the corner.
tax was created by poor for poor because they though “lets steal from rich”.
I used to pay 50% tax in UK and UEE…running 6000€/month charity for poor…who is laughing now 
I fully expect it in the US unfortunately. I quit fighting the system a few years out of college though and just take the curious traveler approach “hey I’m new here, what’s this all about?”… try to learn what I can. If you play nice with the people in charge (shareholders/corporations), they give you money lol.
USA is learning pseudo-communism now ROFL
70% of population will be “freely” living on FED printed coins
Do not whine though…you will be erased from Matrix at blink of eye. I wonder how Canada is feeling free now when they got blocked by own land they trusted so much.
I used to work for all major civs except China, Japan…I moved to rich lands that control the Earth. FOLLOW THE LEADER
Avoid dying civs they make too much noise, and are most dangerous…we all know what happened in Hiroshima/Nagasaki…what desperate fools are capable of.
In North America, income tax was a temporary emergency measure to fund the war but governments got addicted to the cash (and the nice slice they could take home for themselves) and didn’t stop them post-war.
The Income War Tax Act was intended to first finance about 100,000 military personnel needed to continue the war effort overseas. It imposed a four per cent tax over the personal exemption of $1,500 on the income of widows, unmarried people and widows without dependent children… Despite what many hoped was temporary, personal income tax was here to stay. The staggering financial burden of the war had resulted in a national net debt of $1.6 billion in 1919, a figure five times higher than in 1914. During the Second World War, income tax expanded dramatically and, after many years of being considered permanent, the Income Tax Act came into effect on 1 January 1949 after the Income War Tax Act was redrafted. Today, approximately one half of the federal government’s revenue is derived from personal income tax, a significant increase from 2.6 per cent in 1918
that is official version you have been fooled by
tax is nothing new, but it is raging stupidity last 200 years that will end up badly.
In EU, you get 980€ for being unproductive bum…and they love it, and happily pay you…meanwhile, the last productive people earning 4000€ monthly get screwed up by paying 1500€ in official tax, and another 4000€ hidden tax.
We live in a lovely world, that will end up abruptly and with ugly hangover…while >90% get wiped out
are you ready guys?
Kyc / aml makes it pretty hard to cash out to fiat without the govt knowing.
Basically yes. Saying avoid tax would be like saying why do gold miners pay tax. Sure you can mine/make crypto but selling it is another story especially in quantity.
I mean you can sell it easily.
But you can get back taxed and penalties.
And we know govts require exchanges to supply that data to them.
So this year will be the initial test - I’ve just submitted my 2021/22 tax return (UK). I’ve “earned” about £2000 of XCH this year from farming so above the 1k threshold for “hobbies” for the first time. Have a specialist accountant for my main business ventures but they have some experience in crypto taxes.
They recommended claiming for electricity use in farming which will reduce the tax due significantly - so will be interesting to see how it pans out.
For the others in the thread, declaring now for a small £ income tax bill - will make any future sale much easier - still will subject to capital gains tax but ultimately, some fiat conversion inevitable at some point (assuming Chia thrives!).
I’ve been audited by HMRC (UK) before so believe me, it’s much better to be upfront about these things. They go through everything forensically.
How do you do it? How do you get them to send you the right form or whatever?
They dont send you a form.
You or your accountant fills in required info for cap gains online.
That form has the space also for misc income.
Last day to file without penalty is 31st jan for previous yr, so we just filed for 21 / 22 year.
It wont affect difficulry of any sale, exchanges dont care if you pay taxes or not.
Bit they will happily provide your data to your govt.
So will certaiinly make your life simpler when you declare conversions to fiat.
Fairly sure you knew that but just worded it differently.
Correct - I’m talking about the tax implications for future capital gains at the point of disposal
Nice topic. Did you do this under an LLC or Sole P?
how do you account for your time?
I charge 150CHF/hour on IT stuff. Server do not run itself
So far, even if I report my operation…I am like -30k in profits ROFL I would like to see their faces how they whine about paying me back taxes
I am pretty sure, there would be only excuses because they love to charge you only…unless, you are mega corp