Do traders pay income taxes?

[Johnyz]

I'd like to start trading, but what happens when you get profit from a new coin? you pay taxes as individual (like capital gain) or you must open a registered company?

Maybe in some places, traders and investors are paying taxes because its required on their place. Personally, I'm not paying any income tax when I'm trading simply because there is no regulation yet here in my place and no one for sure wants to pay taxes from their profit here. I think even in the future, its hard for the government to impose taxes to those individuals who earn through cryptocurrency.

[RudeSlider]

If people make profit with crypto then they need to pay taxes. But people can avoid the taxes if they wish because government can't be monitoring your profit anyhow.

[PetrVas7789]

If people make profit with crypto then they need to pay taxes. But people can avoid the taxes if they wish because government can't be monitoring your profit anyhow.

It seems to me that even profit from cryptocurrency still is not assessed in any way. In order that from you to levy income tax from cryptocurrency it is necessary to include changes in the legislation of each country.

[mariomerula]

It really depends on country where you lives but normally trades gain are considered like capital gain with traditional investments to it have to go to taxation...

[Obama07]

As I know some people pay income tax because they are a millionaire so they must use bank account for his money withdrawal. When you trade and make a some profit after all you need to withdraw money, then you need any kind of bank so when you withdraw your money via Bank then you should need to pay Income Tax because government follow you how many dollar you withdraw in a month. It is depend on withdrawal if you have a lot of to draw in a month so we should pay income tax.

[CryptoGuro1]

Yes they should be declaring trading profits, it depends on county to country but you should follow the regulations in your area

[gerbas]

If you are able to register for the tax on the result of your trading, that could be better, but if not i think there is nothing to worry about.
since you are trading on your own with no company included.

[RudeSlider]

In many country crypto trading is tottally illegal but many people who belongs there they used earn by trading crypto. So they need not to pay taxes indeed how much they profited from the trading.

[EZTips]

I bring profit the small sums and to different payment service providers. The tax on the activity did not pay also to me yet and no questions existed about it yet.

[Flamebellow]

I think it depends on crypto regulation rules in your country . Most traders do not pay taxes simply because they do not have to do it by law, because the crypto is still not regulated in their country at the legislative level . The only problem can arise when you earn really a lot on trading and you need to somehow legalize this income.

[Harriti]

If you're not going to exchange your cryptocurrency into cash so you no need to pay taxes but if you do that although you dont' have to pay but you still should. In some countries, people don't have to pay taxes although they cash out their cryptocurrency but in the future government will take a look back and catch them all.

[Samkol26]

Why would you need company for trading crypto and which business will the government collect tax for?. I don't think its possible to pay taxes on blockchain trades. But those exchange or trading sites to pay tax and coin creators too,  because they are establishment?

[sweetrose1968]

in canada According to the CRA, tax rules apply to digital currency transactions, including those made with cryptocurrencies. Using digital currency does not exempt consumers from tax obligations.

[Vispilio]

There are ways to get around income tax, unless you are a US citizen; then if the amount is worth it IRS will chase you around the world, try to strong-arm other governments into forced cooperation, make your life very difficult for you if / when you get back to the States, part of the reason why so many American citizens are preferring to even resign from citizenship, every individual deserves a free life.

[imoet]

I'd like to start trading, but what happens when you get profit from a new coin? you pay taxes as individual (like capital gain) or you must open a registered company?

It depends on what country you live and we can see from the law which made by the goverment. In my country cryptocurrency still illegal so many of traders still not pay taxes. Maybe it will change if it is legal.

[kiemnhieutien]

I didn't pay any crypto tax yet. But i think the government are getting tax from me because everything i buy is already taxed, and this tax is added into the services price.

[nicolas1979]

I'd like to start trading, but what happens when you get profit from a new coin? you pay taxes as individual (like capital gain) or you must open a registered company?

Until now I don't need to pay taxes from trading/ investment activity because I use crypto market, not currency or commodities product. Many countries have different opinion and law about this activity, as long included legal financial instrument we should pay taxes. We only need pay transactions fees and like or not that is the rules. Just follow the policy and have a nice trading.

[Fishthatgirl3]

I do pay.
When you get profits you will pay on the profits. Some countries have rules for long term investments, ones that are longer than a year or so.
Long term investments will be taxed less than short term ones.

[akihiro101117]

I'd like to start trading, but what happens when you get profit from a new coin? you pay taxes as individual (like capital gain) or you must open a registered company?

cryptocurrency trading is under regulations now, in the us they are trying to legalize trading cryptocurrencies to fiat via listing on current fiat exchanges. but the etf decision is moved to february and from there, we will have a look on the rules and guidelines of cryptocurrency trading

[coinsycrip09]

If you're not going to exchange your cryptocurrency into cash so you no need to pay taxes but if you do that although you dont' have to pay but you still should. In some countries, people don't have to pay taxes although they cash out their cryptocurrency but in the future government will take a look back and catch them all.

you are right, indeed some countries do not currently impose taxes on crypto.
maybe because some of these countries have not officially legalized cryptocurrency,
but i am sure that in the future the government will impose a tax for each user, sooner or later it will surely arrive.