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Title: From UK need advice on how do I avoid getting into trouble from tax office govt? Post by: very_452001 on December 27, 2017, 12:12:09 AM Hi,
I don't know about the tax laws or bank laws in UK however instead of remaining ignorant I like to know what are the govt laws, bank laws and tax laws of bitcoin sales in UK and who do I declare it to? I do not want to get into trouble for money laundering or tax evasion etc. so best to be safe and abide to the laws to avoid profits being confiscated you know what I mean. Lets say for example I invested £10 into bitcoin several years and now I am a millionaire by cashing out those bitcoins to fiat money now. The £millions are on a exchange just gotta transfer the £millions to my bank account. Just a average bank account not a private or swiss bank account or offshore bank account. The questions are: If an exchange is in a different country to where I don't live then am I obliged to follow that country laws. For example coinbase is USA based and I live in UK. All accounts and data are on a online computer databases nowadays where all info can be found out with just a click of a button or computer software alerts being triggered off. How does a USA exchange like coinbase report back accounts to UK government? Once I transfer the £millions to my bank account from exchange then will my bank account freeze my £millions and treat me like a criminal? I don't understand how all these bitcoin millionaires buying Lambos easily or what did they do get their profits smoothly without interruptions so they can buy those Lambos? What are the limits etc. that you must declare in regards to bitcoin? Thanks, Title: Re: From UK need advice on how do I avoid getting into trouble from tax office govt? Post by: Ringtoo on December 27, 2017, 01:12:13 AM First of all, I don't think Coinbase own by US government. Its a company from Estonia. The tax will only be calculated when you want to transfer your fiat money to the bank from your country.
all of your answers in this following link. http://cryptotax.uk/guide/ Have a read...I am from the UK too, and I had this questions before I started my journey in the crypto world. Title: Re: From UK need advice on how do I avoid getting into trouble from tax office govt? Post by: codewench on December 27, 2017, 08:11:51 AM How does a USA exchange like coinbase report back accounts to UK government? They won't report back - they are barely even reporting anything to the US government. (Note though that they seem to be routing credit card transactions through a foreign country rumored to be the UK.) First of all, I don't think Coinbase own by US government. Its a company from Estonia. Coinbase is a US based company headquartered in San Francisco. Title: Re: From UK need advice on how do I avoid getting into trouble from tax office govt? Post by: Ringtoo on December 27, 2017, 08:49:39 PM How does a USA exchange like coinbase report back accounts to UK government? They won't report back - they are barely even reporting anything to the US government. (Note though that they seem to be routing credit card transactions through a foreign country rumored to be the UK.) First of all, I don't think Coinbase own by US government. Its a company from Estonia. Coinbase is a US based company headquartered in San Francisco. Yes ,, sorry. I meant to say their Euro bank account in Estonia . Thanks for the clarification by the way. Title: Re: From UK need advice on how do I avoid getting into trouble from tax office govt? Post by: MR2O4 on December 27, 2017, 10:58:54 PM There would be capital gains tax to pay, if it is above the threshold (around £11k iirc)
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