Signature Campaigns taxes

[Bardman]

Now first of all I live in spain and I'm wondering if someone has ever paid taxes with money acquired from signature campaigns here. I made a decent amount of money a year ago because campaigns were giving 0.03-0.04 per week. I wouldn't really know how to pay taxes if I need to, would this count like a job and how exactly would someone prove they got their bitcoins from signature campaign , seems quite difficult.

Edit

A few options are presented:

1. Don't say anything, it's virtually impossible for any tax agency to find out what you have. However eventually they might be able to and you could face serious problems.

2. Mark it as freelance work and a tax rate will be applied to it, up to 50% (reported by an user) It seems that they wont ask for much information or proof as long as you are declaring it intentionally.

3. Simply spend bitcoins or any other cryptocurrency that you earned without ever converting it to fiat because cryptocurrencies are usually not taxable in most European countries.

[aleksej996]

I wouldn't bother. The amount you can earn from these campaigns are quite small, even for Legendary ranks.
I don't think no one will harass you for such a unusual income that no one is sure about.

Bitcoin is largely unregulated in the world and it will be difficult to regulate it once they make a significant effort.
This amount is also pretty small, so I don't see why someone would really care, as the whole signature campaign economy is very small.

But then again, I am not a lawyer, I have no idea.

[Basmic]

It all depends on the currency in which you keep your money. If you have transferred your bitcoin to Fiat then you have no chance. The entire amount is taxable. This is your income. But if you store this money in a bitcoin wallet, you have no need to worry. Prove how you got your income is not difficult. But I think it won't be necessary.

[palle11]

Now first of all I live in spain and I'm wondering if someone has ever paid taxes with money acquired from signature campaigns here. I made a decent amount of money a year ago because campaigns were giving 0.03-0.04 per week. I wouldn't really know how to pay taxes if I need to, would this count like a job and how exactly would someone prove they got their bitcoins from signature campaign , seems quite difficult.

As usual, it depends on the country. A country that has enshrined the taxing of digital currency in their constitution would tax on it, maybe during conversation to fiat if they can't ascertain when it was received - off course, because it is decentralized.

But if you store this money in a bitcoin wallet, you have no need to worry.

There will be need to worry if the coins are also in the wallet except he does not intend to use it which I doubt.

[Hamphser]

Now first of all I live in spain and I'm wondering if someone has ever paid taxes with money acquired from signature campaigns here. I made a decent amount of money a year ago because campaigns were giving 0.03-0.04 per week. I wouldn't really know how to pay taxes if I need to, would this count like a job and how exactly would someone prove they got their bitcoins from signature campaign , seems quite difficult.

Don't bother to pay it if your government doesn't bother you too. Most of the banks doesn't consider crypto currency as a source of income that's why when you have to show them your sources of income you have to make an another job that looks legal to them with a reasonable salary because if it's too big they might lock up your bank account if it is not reasonable. And by the way it really depends on what country you are in, so just stick to the law and everything will be fine.

[burner2014]

We don't know what your country saying about this since we do have different regulations, just like here in our country where in we are not yet obliged to pay tax with our earnings in bitcoin  because there is no such law regulating on it so we are still free to do what we want in our earnings

[richardsNY]

I actually did some research last year out of curiosity, and in my case it would fit in the category freelance work, where depending on the amount, a tax rate of up to 50% applies, and I am sure that it is taxable in other countries as well. In other words, depending on the country you're living in, one is obliged to pay tax over their signature campaign income. The only thing that might be different is the amount of tax you need to pay. Of course, what the government doesn't know, they can't claim, but legally paying tax is a necessity. Best thing to do with signature campaign earnings is to either spend your Bitcoins, or to just accumulate them and spend them later on in the future. Actually a good question you brought up OP!

[Bardman]

I actually did some research last year out of curiosity, and in my case it would fit in the category freelance work, where depending on the amount, a tax rate of up to 50% applies, and I am sure that it is taxable in other countries as well. In other words, depending on the country you're living in, one is obliged to pay tax over their signature campaign income. The only thing that might be different is the amount of tax you need to pay. Of course, what the government doesn't know, they can't claim, but legally paying tax is a necessity. Best thing to do with signature campaign earnings is to either spend your Bitcoins, or to just accumulate them and spend them later on in the future. Actually a good question you brought up OP!

The problem is that it gets really messy, specially considering that I have been doing this for a year when you could earn a lot of bitcoins, 0.04 wasn't much then but now is around 300$ not to mention other giveaways and things like that. I was pretty sure it would be something like freelance, however the problem I have is how to prove you did it, I didn't save screenshots or transactions at the time and 50% is a ton of money. I have probably traded/bought things with them along the way too. I will eventually consult a lawyer or someone specialized in tax payments.

[richardsNY]

I was pretty sure it would be something like freelance, however the problem I have is how to prove you did it, I didn't save screenshots or transactions at the time and 50% is a ton of money. I have probably traded/bought things with them along the way too. I will eventually consult a lawyer or someone specialized in tax payments.

It highly depends. If you in all honesty declare your income as per its value in your local fiat currency, and the tax department has no reason to believe that you're gaming the system, then not much will happen. I don't know how things work in your country, but while documenting may turn out to be a smart thing to do, it might not be a necessity when declaring your taxes. I have been doing freelance work myself a few years ago, and never have I needed to include any documents or proof of payments or whatever. All my tax declarations happen online by entering all details in text format, and then I digitally sign it, and that's it.

[gentlemand]

What was the price when you were earning? If it's less than the income tax threshold at the time then you weren't earning enough to pay tax, I'm not sure that the future value is relevant. Obviously every tax regime is different but then I'd be inclined to sell and pay capital gains further down the line.

As for proving it, depending on the thread your registration will be written down and you have that blockchain thing to prove where it came from.

[Bardman]

I was pretty sure it would be something like freelance, however the problem I have is how to prove you did it, I didn't save screenshots or transactions at the time and 50% is a ton of money. I have probably traded/bought things with them along the way too. I will eventually consult a lawyer or someone specialized in tax payments.

It highly depends. If you in all honesty declare your income as per its value in your local fiat currency, and the tax department has no reason to believe that you're gaming the system, then not much will happen. I don't know how things work in your country, but while documenting may turn out to be a smart thing to do, it might not be a necessity when declaring your taxes. I have been doing freelance work myself a few years ago, and never have I needed to include any documents or proof of payments or whatever. All my tax declarations happen online by entering all details in text format, and then I digitally sign it, and that's it.

Well, yeah I do just want to declare my income to get rid of it. A lot of people told me the same as you, that they wont really ask for much proof as long as it's not an insane amount of money which it isn't.

It all depends on the currency in which you keep your money. If you have transferred your bitcoin to Fiat then you have no chance. The entire amount is taxable. This is your income. But if you store this money in a bitcoin wallet, you have no need to worry. Prove how you got your income is not difficult. But I think it won't be necessary.

I did some research and in Spain, bitcoin or any other cryptocurrency is basically seen as an investment, not a currency and it seems that I basically have to declare it even if I never converted it to fiat. I will dig further to see what I can find.

[BCTBF]

Now first of all I live in spain and I'm wondering if someone has ever paid taxes with money acquired from signature campaigns here. I made a decent amount of money a year ago because campaigns were giving 0.03-0.04 per week. I wouldn't really know how to pay taxes if I need to, would this count like a job and how exactly would someone prove they got their bitcoins from signature campaign , seems quite difficult.

I think by participating in a signature campaign there is no need to pay taxes, because signature campaigning is not a job. I can say this (signature campaign is not a job) because I've read a post made by a famous campaign manager in this forum and he said like that. If your country is serious about this, then let's prove you participate in the signature campaign in this forum, I think it's easy, not difficult to give a evidence.

[gentlemand]

I think by participating in a signature campaign there is no need to pay taxes, because signature campaigning is not a job. I can say this (signature campaign is not a job) because I've read a post made by a famous campaign manager in this forum and he said like that. If your country is serious about this, then let's prove you participate in the signature campaign in this forum, I think it's easy, not difficult to give a evidence.

It is money in return for effort. That makes it income. That makes it taxable if the amount is high enough. Even if you put in no effort, if money is coming in to your possession and control it's taxable in most places.

It's time crypto fans got real. Just because it's 'on the internet' does not mean laws magically evaporate.

[goaldigger]

I think its just the same as money earned from trading and is also taxable. The only difference is, trading is a passive income while signature campaign is categorized as job because of the payment returned for every services. Taxation process depends on the country you live in.

[quality.crypto]

Now first of all I live in spain and I'm wondering if someone has ever paid taxes with money acquired from signature campaigns here. I made a decent amount of money a year ago because campaigns were giving 0.03-0.04 per week. I wouldn't really know how to pay taxes if I need to, would this count like a job and how exactly would someone prove they got their bitcoins from signature campaign , seems quite difficult.

I am not well experienced like you in this Bitcoin talk forum section but my suggestion whether you country accepting payments those who are earning money through Bitcoin if so better pay taxes because otherwise, they will charge more fund from you.

[St4yInTh3D4rk]

Now first of all I live in spain and I'm wondering if someone has ever paid taxes with money acquired from signature campaigns here. I made a decent amount of money a year ago because campaigns were giving 0.03-0.04 per week. I wouldn't really know how to pay taxes if I need to, would this count like a job and how exactly would someone prove they got their bitcoins from signature campaign , seems quite difficult.

I am alos not paying any taxes yet for my earning through the signature campaigns but my earning is not a huge from signature campaigns so I never filed any taxes regarding this and I hardly ever convert bitcoins into fiat so I think I don't have any problem as long as I keep as bitcoin.

[Diced90]

For now we don't need to worry about taxes but I know Spain is known for all sorts of tax and I think you could only get taxed if you exchange your coins for fiat and the bank knows your account is used for crypto transactions it might be obliged to report to relevant tax authority who are most probably going to request an income tax should be deducted from your account but for now this is just a speculation.

[jjacob]

Now first of all I live in spain and I'm wondering if someone has ever paid taxes with money acquired from signature campaigns here. I made a decent amount of money a year ago because campaigns were giving 0.03-0.04 per week. I wouldn't really know how to pay taxes if I need to, would this count like a job and how exactly would someone prove they got their bitcoins from signature campaign , seems quite difficult.

I think by participating in a signature campaign there is no need to pay taxes, because signature campaigning is not a job. I can say this (signature campaign is not a job) because I've read a post made by a famous campaign manager in this forum and he said like that. If your country is serious about this, then let's prove you participate in the signature campaign in this forum, I think it's easy, not difficult to give a evidence.

There are 2 questions you are confusing here - whether taxes are due and whether your government can catch you if you evade taxes. I do not think that there is any doubt about taxes being due. It is income however you earn it, whether through signature campaigns or a real job. About enforceability of the law, you have to take a call. The taxes due on your income may be small, and is it worth taking a risk and evading taxes on that amount?

[Dreamchaser21]

Now first of all I live in spain and I'm wondering if someone has ever paid taxes with money acquired from signature campaigns here. I made a decent amount of money a year ago because campaigns were giving 0.03-0.04 per week. I wouldn't really know how to pay taxes if I need to, would this count like a job and how exactly would someone prove they got their bitcoins from signature campaign , seems quite difficult.

Cryptocurrency is not yet taxable even if you earn it through signature campaign unless there's a law that regulating cryptocurrency on your place. But I think if you just withdraw it and government see your transactions that's the time you will pay taxes when necessary.

[lili song]

In my country no need to pay tax if I got income from signature campaigns, because don't have any regulations about that.
So depend of your country, if there's no regulations or rules of pay tax from signature campaigns, I think is ok no need to pay taxes.