Bitcoin and tax in your countries

[Kakmakr]

In my country you only start paying taxes when you convert your bitcoins to fiat currencies. You only pay taxes on the portion of the profit that you made. You subtract the price that you bought it for, from the selling price and then you pay capital gains on the profit that you made.

You also pay VAT on any transaction you make with the bitcoins, so you do not pay any extra taxes if you prefer to use it as a currency. I think out tax laws are one of the most progressive strategies to tax Bitcoin and this should be the norm all over the world. 

I only pay tax on the bitcoins I sold at the end of the financial year, when I have to submit my tax return. 

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[Murat]

I don't mention the name of my country but i'm going to share with you about my country's stand regarding this issue, in recent time our ICT, Economic and planning ministry discuss about Bitcoin and its consequence, I hope that our ICT minister is looking forward to declaring towards Blockchain and cryptocurrency, He smiles about this question and his expression was very satisfied, even he recently visited an international IT fair's stale which is based on Blockchain platform, I think we are getting a good and positive result about this issue very soon, I am with Tax, I believe that Bitcoin Tax would be a good source of revenue for the Government because a huge portion of people are already got involved in this platform.

[imutlinda]

for in my country bitcoin user tax is not charged but when making an exchange to FIAT I get a tax which in my opinion is not large. because in my country bitcoin hasn't got full permission so it's still tax free

[bounceback]

Can you share situation in your country?

actually in my country the government has now made tax laws for bitcoin users or other virtual currency users have been taxed, because the popularity of cryptocurrency has increased even though the government of my country has not ratified bitcoin as a legal payment tool, but they only ask for tax from every the owner of a digital currency exchange company is only 10%.

[Inkdatar]

for in my country bitcoin user tax is not charged but when making an exchange to FIAT I get a tax which in my opinion is not large. because in my country bitcoin hasn't got full permission so it's still tax free

Actually the same in my country the government doesn't impose tax to the user. Bitcoin is legal in our country though every transactions when converting to fiat there is a few fee deducted, it is less amount which considerable. So we're still grateful since most of us here did not require to pay tax.

[Astvile]

Here in Philippines there is no law that declare taxes from cryptocurrency incomes, we are just paying income tax from salary on work and more government related but in cryptocurrency theres no such tax.
Adoption is also good since we can freely spend and cashout our bitcoin in many remittance and bank options and buy prepaid load with bitcoins.

[bitcampaign]

in my country not yet implemented the bitcoin tax, but if indeed the government in my country wants tax from the bitcoin that I have or from community friends in my country, we will support it if indeed it is to increase state revenue and develop development in my country, at least the government also want to participate in promoting bitcoin to make it look fairer

[Shasha80]

In my country bitcoin is only allowed as a digital asset, if it is still prohibited as a means of payment. Bitcoin still can't be used
for shopping in stores or market places. If you want to shop for daily needs with bitcoin can't be directly yet, the bitcoin we have
must first convert to fiat. If the tax problem, in my country it is charged if the bitcoins that we have in local exchanges are converted
to fiat and then transferred to a bank. Besides it is still exempt from tax.

[Google+]

According to the information that I know about bitcoin at this time in my country there is no tax set because at this time the rules for using bitcoin are still unclear meaning that the use of bitcoin and storing bitcoin in large amounts is still very safe, and I don't think bitcoin can be worn either taxes from the government because bitcoin is a digital currency that can never be controlled by the government.

[dimox]

in my country, we will get charge about 0.5% from our crypto salary. you get this number if your income doesnt exceed 4.5 billion. if more than 4.5b, you will get more than 0.5%. thats huge number, because income from crypto is big too

[yoseph]

Here in Philippines there is no law that declare taxes from cryptocurrency incomes, we are just paying income tax from salary on work and more government related but in cryptocurrency theres no such tax.
Adoption is also good since we can freely spend and cashout our bitcoin in many remittance and bank options and buy prepaid load with bitcoins.

Whiles some countries pay taxes whenever they decide to convert their cryptocurrencies to FIAT, in my country we do pay nothing of that sort and it's free and there are no charges involved because the government is yet to make any rules regarding cryptos but from the way they have been taxing everything including airtime it's just a matter of time before it comes to cryptocurrencies.

[teosanru]

I would like to hear about the situation with bitcoin and taxes in your countries.
I think it would be interesting to hear different experiences and compare results across countries.
Of course, I understand that in some countries you can't declare bitcoin tax.
I'm not interested in these countries but the ones where it is possible to declare and pay bitcoin tax.
I will start first.
In Croatia, several years ago we received clear instructions from the tax office on how to file a bitcoin tax.
In short, we must lead FIFO and if we can prove that we held btc funds more than 2 years, than we don't need to pay tax (long term investment).
If we have kept btc funds for less than 2 years, we pay 12 % tax plus surtax.
Can you share situation in your country?

In my country India, there is no special provision regarding taxation on bitcoin. It's taxed based on the source of how you have earned bitcoins. If you are earning it as a remittance on account of your business then you are eligible to claim expenses done in this regards and file it under Profits from gains of Business and considering that you are and Individual you will be taxed at Individual slab rates which are:

0-250000	NIL
250000-500000	5%
500000-1000000	20%
1000000 above	30%

[Gotumoot]

Implementing the law to tax bitcoin holders in our country is simple. It's not a direct hit with bitcoin because they also don't know who holds bitcoin in our country. We incur tax on bitcoin by converting it into fiat currency and of course the money we make is that we buy everyday necessities and there are reduced taxes. We will only be taxed if we declare our bitcoin hold and this is unlikely to happen because I would not say so. And if they were going to prove that I bought the cheap stuff because of bitcoin I could just as easily lie because I have a business to tell.

[k@suy]

Here in Philippines there is no law that declare taxes from cryptocurrency incomes, we are just paying income tax from salary on work and more government related but in cryptocurrency theres no such tax.
Adoption is also good since we can freely spend and cashout our bitcoin in many remittance and bank options and buy prepaid load with bitcoins.

Yeah thats right. I think it will be legalize sooner because one of our senator here in our country have some meetings with cryptocurrency investors, traders months ago. Once that it has been legal they will put taxes on it and it will be regulated here, there are so much scams here in us that using bitcoin to gain people in their group to collect their money.

[suvo05]

The crypto-coins does not have any special taxes in my country. It has the same tax as it is for normal currency. One crypto trader/ earner should give the exact amount of case which he make profit of by calculating that in fiat. For holding there is no specific rule. The reserve bank is still trying to implement new tax system and gov is trying to regulate it.

[Lucius]

That's all nice and fine until you want to buy real estate or a car, unless Croatia is different in this regard, which I doubt.

I was referring more to some smaller amounts that would not in any way attract the attention of the tax administration, or cause good neighbors to report me for a new car for which I cannot prove the origin of the money. For those who have large amounts of Bitcoins and want to change it to FIAT tax filing is the surest way to do that.

Everyone is subject to property checks, and if the property does not match the income, the state initiates the legal procedure to fine such a person. The old saying goes that two things cannot be escaped in life, one is death and the other is paying taxes.

[DdmrDdmr]

There was a similar thread on the topic not long ago (on Legal). There I stated the following on cryptocurrency taxes in Spain, and it kind of sums-up  the situation there:

<…> In my country for example the applied tax rate is generally between 19% and 23% (depending on the amount you converted to FIAT), but the status of applying tax is rather incipient, and there seem to be no clear guidelines that apply to all possible scenarios.

Theoretically, having obtained BTC in each one of these scenarios may have a different tax solution:
-   Profit made on trading.
-   Profit made on mining.
-   Profit made on purchase+hold+sell.
-   Profit made on campaigns.

The tax range and required documentation to keep varies in each of these scenarios, and it may well depend of the specific tax inspector you are talking to.
This year, the tax office has emailed 14.700 people warning them that their crypto gains must be declared. Those people seem to be a subset (not all) of the ones that dealt with an exchange, and they did not necessarily convert to FIAT in order to receive the warning (theoretically, trading is also taxed, even if you don’t convert to FIAT – based on the value gained as a result).

Theoretically, if you do not convert back to FIAT you don’t have to pay taxes (yet), but the increments in position due to trading is, theoretically, subject to taxation too.<…>

<…>The thing to take into consideration is that many people are likely holders, and have not converted to FIAT yet, thus more or less postponing the tax procedure. Traders are another matter (as I stated, in theory they should declare for increased values of portfolio due to trading, even if they do not convert to FIAT – similar to dealing with shares).

In summary, it's not a very favourable legislation, and not clear enough on the procedure, bearing in mind the possible scenarios that can lead one to having some crypto.

[arimamib]

I personally get tax if doing transactions with bitcoin outside of it I do not get tax. especially when making a exchange to FIAT, I have to pay taxes in a fairly small amount and not burdensome

[Meowth05]

for in my country bitcoin user tax is not charged but when making an exchange to FIAT I get a tax which in my opinion is not large. because in my country bitcoin hasn't got full permission so it's still tax free

Actually the same in my country the government doesn't impose tax to the user. Bitcoin is legal in our country though every transactions when converting to fiat there is a few fee deducted, it is less amount which considerable. So we're still grateful since most of us here did not require to pay tax.

Expect that if one country accept or constitutionalize the utilization of bitcoin and other cryptocurrencies this would give a sign for government to impose tax for the users. In the country where I belong cryptocurrency is somehow between of illegal and legal act thus our government have no implications of applying a tax system upon the usage of this technology. Luckily, only the transactions fee coming from any crypto platform is the one that serves as our tax.

[iamaruf]

In our country btc is illegal. So there is no tension for tax.we are tensed how to safe from govt.if govt ask for tax  i am not going to pay.because i am holding my coin in wallet not in exchanger. So Govt cannot figure out my total balance.     
BTW, how government will charge for tax? Because they don't know about your fund.