How to adjust your digital currency plan with new crypto tax proposal

[Cryptocrit]

New crypto tax proposal make affect on your current crypto planning

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Cryptocurrency taxes in the US could soon change, affecting how people use digital money. The government wants to make crypto rules more like those for regular money. This could change how you manage your digital assets.

Right now, if you sell crypto for less than you bought it and then quickly buy it back, you can claim a tax break. But new rules might stop this trick. If you buy the same crypto again too soon, you might not get the tax benefit. This could make it harder to make quick profits from trading crypto.

Another proposed change involves taxing the electricity used for mining crypto. This could make mining less profitable. Miners might need to adjust where they operate or how they set up their equipment to deal with the extra costs.

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https://www.cryptocrit.xyz/2024/03/Crypto-tax-proposal.html

[Husires]

Traders will always try to pay the minimum possible tax, and if the possibility of claiming a tax exemption is closed if you sell the cryptocurrency for less than its purchase price, traders will try to look for other ways.
In general, no matter how high the taxes are, they will not affect long-term investment because you will pay them once after you have made a good profit, but their impact will be bad for traders and for altcoins, as many will prefer investing instead of trading, and Bitcoin will inevitably be the choice of most investors compared to altcoins.

[God bless u]

It had to be done someday so what that its done now. Governments were ignoring this for a long time now and many investors enjoyed profits without much tax deduction. Now when people are more dependent and more indulged In crypto they want to take advantage of that.

I think it's now a wrong move we have to pay taxes to the government for the betterment of our country. These taxes are for those who are unable to Invest in crypto due to their financial conditions. So it will reduce our income but it'll raise some poor people's living standards. So this makes it a good move in some way we have to be positive.

[batang_bitcoin]

The government if they're not for crypto, they think that people involved with it have got a lot of money. They always do a lot of regulations that are in favor of the government and not of the people. In the end, those that are finding it heavy to pay those tax obligations will certainly adjust and as husres said, they'll find a way to pay the minimum. What's on their mind is that at least they've paid their tax obligation while the government is giving them hard time to adjust with all of these taxation while them do most of the efforts.

[Dailyscript]

Traders will always try to pay the minimum possible tax, and if the possibility of claiming a tax exemption is closed if you sell the cryptocurrency for less than its purchase price, traders will try to look for other ways.
In general, no matter how high the taxes are, they will not affect long-term investment because you will pay them once after you have made a good profit, but their impact will be bad for traders and for altcoins, as many will prefer investing instead of trading, and Bitcoin will inevitably be the choice of most investors compared to altcoins.

Your right and i agree with you. One way or the other traders would pay their taxes. If a trader is making a lot of money from trading no amount of taxes that he cant afford to pay. So i dont see adjusting payment of taxes as a big deal, just focus on your trading skills and habits. So that one would be a professional then paying taxes will not bea problem.

Although the OPs idea is for traders who are still coming up, that means if there is a way a trader who feels that the amount he pays for tax is much he should think of this as a good strategy.

[goaldigger]

The government have the final say on this and if they are planning to lower the tax rate for crypto investors the better but if they are considering again to increase the rate and also restrict people from getting too much pressure, then they can do it in just a snap. The government regulations and policies are very important, and we should seek for it if we want to see this cryptomarket reaching another highs.

[Husires]

The government have the final say on this and if they are planning to lower the tax rate for crypto investors the better but if they are considering again to increase the rate and also restrict people from getting too much pressure, then they can do it in just a snap. The government regulations and policies are very important, and we should seek for it if we want to see this cryptomarket reaching another highs.

Tax cuts usually occur to popularize a certain thing, and the current trend of governments is either to ban cryptocurrencies or to deal with them with caution so that governments ensure tax compliance and reduce the risks of fraud and random investment. All of this will always make the cryptocurrency tax high and the possibility of reducing it less, especially since we are in the season of high markets and easy profits.

[kentrolla]

One more proposal which goes against the traders see this month affect long term investors but the problem here is I would just tell the profit earned by traders and or short term investment with little profit. There would be a way to figure out how we can bypass these taxes as it doesn't make sense why do they tax for something which they cannot control or legalize? This is just to try and control which they had been trying to do for a long time but traders are not fools to pay this tax there would be some way around. Because not everyone can become long term investors.