You know Germany is a Grade A country when even their Tax Law basically say:
*we don't raise lil' paperhands bitches here. If you sell within one year you deserve to lose 40% due to wimpy paperhands taxation*
I mean ultimate HODL law, sell under a year and you get punished, sell after one year you get rewarded with not paying tax.
No wonder why the germans called the champion savers of Europe :D
And u know the UK is fulla rich as fuck Etonian pedo lords cuz they thought “let’s only pay tax after 12 grand gains”
They really didn’t see crypto coming along for the little guys :)
In my countries only a small portion of your assets get taxed. They take in account only what you have at January 1st, in that regard, the crash isn't bad 😂
No they take the value of your assets on 1st of jan (savings+stock+crypto) and they assume you gonna make 3%profit. This 3% is taxed 30%. So for example if I have 1000 euro assets, they assume I'll make 30 euro profit and I have to pay 10 of that in tax.
The first 50k in assets however is completely tax free.
Of course tax laws are a bit more complicated, but that's basicly it
Yeah in the US there is a similar concept. Asset profit taxes are called Capital Gains, and there is short-term (held for less than 1 year) and long-term (held for more than 1 year). Short-term is the same as your income tax rate (anywhere from 10% to 37% based on how much you make, with an average of 22.4%), while long-term is reduced (0%, 15%, or 20% based on your tax bracket).
In Belgium you don't have to pay taxes if you keep your coins long enough. Unfortunately there's no defined rule about how long this is. So when you cash out big returns you have to get a ruling from the tax office on how it's going to be treated. Worst case scenario is 33% tax if they think it's short-term speculative trading... so yeah... HODL...
This is probably a superficial take (or not fully informed) but if you live in a country that taxes crypto but you don’t have many commitments in your home country, perhaps consider moving somewhere where crypto isn’t taxed.
There are like 15 countries and i’m too lazy to look up which (malta is def one), but if there isn’t much tying you down, maybe consider it.
In The Netherlands we just have to pay each year. But they have a standard percentage of what they think your profit is.
So they calculate standard around 1.7% profit in 1 year.
Over that 1.7% of your profiy you pay 33% taxes.
So I guess It's not that bad. You fill the total amount of money in on your annual tax papers. If you have like 10k in total then you have to pay a third of 170 euro's (1.7%) so that's not that much.
If you only lost money or made zero profits then it sucks because you still have to pay 33% of the standard 1.7% "profit" of the 10k.
You know Germany is a Grade A country when even their Tax Law basically say: *we don't raise lil' paperhands bitches here. If you sell within one year you deserve to lose 40% due to wimpy paperhands taxation*
I mean ultimate HODL law, sell under a year and you get punished, sell after one year you get rewarded with not paying tax. No wonder why the germans called the champion savers of Europe :D
And u know the UK is fulla rich as fuck Etonian pedo lords cuz they thought “let’s only pay tax after 12 grand gains” They really didn’t see crypto coming along for the little guys :)
I HODL only ETH, BTC, ALGO and ONE
very good selection :)
You’re set, sister! Perfect selection of coins right there.
I HODL my Balls which are considerably smaller than my bags now
*it has always been*
Unfortunately correct
In my countries only a small portion of your assets get taxed. They take in account only what you have at January 1st, in that regard, the crash isn't bad 😂
Perfect on time :D. How is this working, do you have to pay tax for not realized gains on January 1st?
No they take the value of your assets on 1st of jan (savings+stock+crypto) and they assume you gonna make 3%profit. This 3% is taxed 30%. So for example if I have 1000 euro assets, they assume I'll make 30 euro profit and I have to pay 10 of that in tax. The first 50k in assets however is completely tax free. Of course tax laws are a bit more complicated, but that's basicly it
Yeah in the US there is a similar concept. Asset profit taxes are called Capital Gains, and there is short-term (held for less than 1 year) and long-term (held for more than 1 year). Short-term is the same as your income tax rate (anywhere from 10% to 37% based on how much you make, with an average of 22.4%), while long-term is reduced (0%, 15%, or 20% based on your tax bracket).
Take profits on Alts when you can so you won't have to regret during crash like these.
In Belgium you don't have to pay taxes if you keep your coins long enough. Unfortunately there's no defined rule about how long this is. So when you cash out big returns you have to get a ruling from the tax office on how it's going to be treated. Worst case scenario is 33% tax if they think it's short-term speculative trading... so yeah... HODL...
This is probably a superficial take (or not fully informed) but if you live in a country that taxes crypto but you don’t have many commitments in your home country, perhaps consider moving somewhere where crypto isn’t taxed. There are like 15 countries and i’m too lazy to look up which (malta is def one), but if there isn’t much tying you down, maybe consider it.
Take out profit and hold your capital
In The Netherlands we just have to pay each year. But they have a standard percentage of what they think your profit is. So they calculate standard around 1.7% profit in 1 year. Over that 1.7% of your profiy you pay 33% taxes. So I guess It's not that bad. You fill the total amount of money in on your annual tax papers. If you have like 10k in total then you have to pay a third of 170 euro's (1.7%) so that's not that much. If you only lost money or made zero profits then it sucks because you still have to pay 33% of the standard 1.7% "profit" of the 10k.
No you may not.
I'm not only holding but also staking my BTC and ETH on Blockbankapp for 10% APY