skywallkee Posted May 24, 2019 #1 Posted May 24, 2019 So far I haven't heard of any country that taxes the owners/sellers/traders/miners of any crypto. This year Romania added a tax for anyone that owns and does profit out of Bitcoin. For every profit done through Bitcoin, the State will tax the owners with 10% of the owned amount, unless the amount is lower than 150$ which will eliminate the tax. The way it is seen in the law is as a positive difference between selling price and buying price, including the transaction's costs. So from now on, in Romania for every profit done starting with 2019 will have to be reported the next year. (for 2019, Romanians will have to report their income from crypto in 2020 until 15 March) By now there is no law regarding the ones that already had and hold cryptos for their price to rise before 2019, but this will be implemented later this year. So for now the already owners of cryptos that owned a certain amount before 2019 will not be supposed to any payment. I wonder if other countries are going to implement this kind of tax and if this will affect the price of currencies in any kind of way (increase/decrease). I think that an implementation of a tax will hurt a little in the crypto world as we already have transaction taxes that aren't that cheap, but having another 10% tax from the total? That's a huge hit. If you want to read a little more, I'll leave the source here (in Romanian): https://tradesilvania.com/blog/cum-se-impoziteaza-bitcoin-in-romania-in-2019/
hustler1984 Posted May 24, 2019 #2 Posted May 24, 2019 I wonder how they would treat a gambler that buys 10$ worth and then sells 1000$ worth... and say during the time between the price had dropped 10%... in reality.. the person has lost 100$ on the "difference"... but has profited 990 from gambling...
skywallkee Posted May 24, 2019 Author #3 Posted May 24, 2019 3 minutes ago, hustler1984 said: I wonder how they would treat a gambler that buys 10$ worth and then sells 1000$ worth... and say during the time between the price had dropped 10%... Quote in reality.. the person has lost 100$ on the "difference"... but has profited 990 from gambling... For gambling there already is an tax of 1% out of the won sum until 16k$, 16% until 100k$ and 25% for anything over. I don't know exactly how this will work, but I think that this will be in plus with the crypto tax. It is a full mess and nobody really understands how they are actually willing to do this and implement such changes and taxes, but yeah... It's gonna get messier and harder to understand every time they'll add new laws regarding this taxation, I can bet for that.
wry Posted May 24, 2019 #4 Posted May 24, 2019 Sounds like an income tax which is pretty common in countries versus a property like tax that taxes your holdings. Most developed countries have income taxes, so I don't think this is too alarming and may just reflect more acceptance of BTC.
barbaris Posted May 24, 2019 #5 Posted May 24, 2019 This is bad news. And 10% is a lot. But how will they track all cryptocurrency owners. And in general, why do we need to pay the state for what they have nothing to do with. This is another way to fill the pockets of government officials. I hope it will not be in all European countries.
skywallkee Posted May 24, 2019 Author #6 Posted May 24, 2019 51 minutes ago, wry said: Sounds like an income tax which is pretty common in countries versus a property like tax that taxes your holdings. Most developed countries have income taxes, so I don't think this is too alarming and may just reflect more acceptance of BTC. But if you buy Bitcoin from 2019 and forward, then yes, in Romania you'd have to pay for holding it 10% yearly of the profit done through BTC's rise. It is yet not very clear how we're supposed to deal with this, but I'm a little afraid of the laws that are coming from now on. 10% as how it was said above, is a lot.
OsmaNN Posted May 24, 2019 #7 Posted May 24, 2019 as wryy says this shows the acceptability of bitcoin. Developed countries are tax, so this is not an annoying event.
Lexus19 Posted May 24, 2019 #8 Posted May 24, 2019 How can they know that you made a profit from cryptocurrency ? Not unless you tell them . Open a Bank card from any neighboring country and withdraw money on this country , and withdrawal money just then you in another country , then the Bank will not have questions where the money came from .
Etude Posted May 25, 2019 #9 Posted May 25, 2019 I guess what is really needed to handle this part actually is to have a good accountant to handle your income tax properly to overcome this issue.
niki014 Posted May 25, 2019 #10 Posted May 25, 2019 that aint something new in my country since 2017 or 2018 any crypto cashout to money counts as income and they get 10% income tax and this thing aint only here its been there for couple of years in some countries the fukt up about is they dont do tax on how much u profit but on how much you cash out yeah sure if u can show how much u deposited directly then u ll pay only profit but lets say you are buying not directly crypto but you use some 3 party or something then u can say you deposited and even if u lost money when u cash them out ot money u ll pay 10% anyway thats how atleast how it goes here but the 10% income tax aint a new thing
bmg Posted May 25, 2019 #11 Posted May 25, 2019 There aren't to many people out there that claim there taxes the way they are supposed to as it is ,let alone try to tax people for bitcoin when they cant really say if someone has it or not.
williamshennie9 Posted May 26, 2019 #12 Posted May 26, 2019 10% is really not bad at all! Some countries are taxing profits on crypto up to 50%! I guess people with a lot of crypto will relocate to more tax friendly countries if they hold a lot of crypto.
Kate Posted May 26, 2019 #13 Posted May 26, 2019 Like how ? I dont get it. Bitcoin wallets aren't registered under anyone's names right so how could they come to know if someone did not report their incomes ?
skywallkee Posted May 26, 2019 Author #14 Posted May 26, 2019 1 hour ago, Kate said: Like how ? I dont get it. Bitcoin wallets aren't registered under anyone's names right so how could they come to know if someone did not report their incomes ? Well, they don't need to know which one your wallet is, but only know when you make a withdraw. If you supply your bank account with 500$ from a source that contains the keyword Bitcoin/Crypto/etc. then it's for clear where that money comes from. Anyways, if you do not report your incomes then you're breaking the law, which in here in Romania is punished with 2 to 6 years of jail (if the sum is big enough it can go up to 15). That's why you'd better report the income and pay that 10% rather than letting them find out in any way and after that do jail time.
Shaniqua Posted May 26, 2019 #15 Posted May 26, 2019 yeah its weird how countries have started to do this... or try to do this ... itsa be hard to find out who has what amount to tax with
allisonn Posted May 26, 2019 #16 Posted May 26, 2019 At a certain value it becomes more economical to simply move out and declare residence somewhere else.
FotisNt Posted May 26, 2019 #17 Posted May 26, 2019 Damn, not cool. I guess im lucky i dont live in there.
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