Do you think a 10% tax on Bitcoin profits is fair for long-term investors?

[GreatArkansas]

However, not all European countries tax cryptocurrency at the same rate. For example, in France, the prevailing tax rate on crypto profits is about 30%, while in Greece it is kept at 10%, That is, they have a percentage 3 times lower than France. Other countries may also have different percentages..

That's a big problem for the crypto industry located in the EU. Different European Union countries have different regulations and different tax rates for the crypto investors. The EU must have one tax rate for crypto and unified legislation regarding cryptocurrencies. The MiCA act is a step in the right direction, but it targets only the crypto companies and exchanges, not the crypto investors(as far as I know).
Everybody hates taxes. The most reasonable tax rate over crypto would be 0% if you ask me. 10% is fine, but I would hate to pay such tax, if I had to. Perhaps the tax authorities in my country would "knock on my door" some day and I will have to pay the tax plus fines and an interest rate for delayed payments.

Yeah but easy to understand is not the issue. Even if the rule is clear, it is still hassle if every time you spend Bitcoin you need to compute capital gains, especially on small buys. A lot of people will just use fiat for daily spending then, even if US and UK already do same thing. There are still some people, especially in some country, different age levels that may find this confusing.

[stompix]

It's always funny to see how people can swing their criteria for what is tax and what should be taxed based just on how they woke up today
We want bitcoin:
- available for eveyone be it individuals or institutions, to invest
- we want to get rich off it and build our pleb's castle with 0.01 satoshis
- we want to be able to easily convert BTC to fiat in every bank
- we want our investment recognized and protected by law

Taxes? Why the fuck should we pay taxes on profits?
Bitcoin is not an investment!!!! We don't buy Bitcoin to ...make money....lol!

That's a big problem for the crypto industry located in the EU. Different European Union countries have different regulations and different tax rates for the crypto investors. The EU must have one tax rate for crypto and unified legislation regarding cryptocurrencies.

That's not how a Union works!
Otherwise, we would have the same minimum wages, taxes, VAT, etc in every country.

[Aliciaworld]

Discourage them or they will go fully noncustodial and P2P without anything centralized in-between? Although, 10% tax on crypto profit is not a bad idea at all. In my country, it is 15% and up to 25% for individuals, but up to 30% for businesses.

The tax will not affect the crypto market.

I do not think it will discourage investors, but some people may prefer noncustodial and P2P because of it. Just to evade it.

My thoughts exactly. Although the 10% tax isn't at all preposterous it might cause many to sell alternative means

[Taskford]

It's always funny to see how people can swing their criteria for what is tax and what should be taxed based just on how they woke up today
We want bitcoin:
- available for eveyone be it individuals or institutions, to invest
- we want to get rich off it and build our pleb's castle with 0.01 satoshis
- we want to be able to easily convert BTC to fiat in every bank
- we want our investment recognized and protected by law

Taxes? Why the fuck should we pay taxes on profits?
Bitcoin is not an investment!!!! We don't buy Bitcoin to ...make money....lol!

Well this is probably the trades off, for wanting all those things. Government usually ask tax on capital gains of their citizens, then if someone earns from Bitcoin. Then treat it as investment then I guess its good for people to follow their obligation to their government.

If people just use Bitcoin as currency. Then they are regularly use it on their daily transactions. Maybe government will think differently, then won't think about imposing unfair taxes to people use that coin.

I really hate paying taxes, especially if I know that it will just go to the hands of corrupt politicians.

[Cryptmuster]

However, I would like to know how you view this decision?
Is a 10% tax on Bitcoin profits a reasonable rate? And is such a tax system good for the cryptocurrency market,? And what is it like for crypto users? or will it discourage long-term investors?

I think a 10% tax on profits is quite reasonable and certainly won’t deter those who are accustomed to working legitimately and paying their taxes. For instance, most entrepreneurs in my country pay 6% of their total turnover (not just profit, but the entire turnover), so those who are used to operating within the law and paying taxes will easily accept this. But if there are ways to bypass this tax, using exchangers or other available platforms, then I am certain there will be people who choose to avoid paying it.

[Orpichukwu]

However, I would like to know how you view this decision?
Is a 10% tax on Bitcoin profits a reasonable rate? And is such a tax system good for the cryptocurrency market,? And what is it like for crypto users? or will it discourage long-term investors?

In as much as I don’t like crypto being taxed by the government, if we still also want it to be recognized, then taxation is inevitable, but where I always disagree with some tax system is where both assets acquired before the law are also taxable; it will be a bit fair if the rules apply only to assets acquired from when the rules take effect.

And if we want to avoid the tax, there is always a way; that’s what makes crypto different, especially Bitcoin, since we can trade, acquire, and store it without using any centralized exchange that will sell us out to the authorities.

[uchegod-21]

Compared to other countries with higher tax rate and complicated rules, I think that 10% is fair. And what makes it fairer is that you are not going to be charged tax just by hodling your bitcoins or just simply because bitcoin's price increased.

No matter how fair they make it, someone who is not willing to pay will still look for means to avoid paying tax. The government on their own part should not increase it unreasonably such that it then encourages more people to avoid tax due to it's complicated nature.

[Alpha Marine]

I don't think there's anything bad about the law. Aside from the fact that it benefits people with a very large holding if it is a flat rate of 10%.
In a lot of countries, they use the usual progressive tax systems. This makes people who have more money pay more taxes, which is up to 35.
It's also normal to only tax the realised profit. It would be very stupid to tax unrealised gains. It also makes sense to put a cap. It wouldn't make sense to tax any amount of profit a person makes, which is how it is in my country right now. It doesn't matter if that profit is $100, you will pay that 7% tax as long as you take profit. Honestly, I wouldn't complain about what you have. It's just more advantageous to people who make more, which is not entirely a bad thing, they still pay more.

[Luzin]

However, I would like to know how you view this decision?
Is a 10% tax on Bitcoin profits a reasonable rate? And is such a tax system good for the cryptocurrency market,? And what is it like for crypto users? or will it discourage long-term investors?

I would even strongly disagree, it is too high and would be burdensome even though specifically mentioned as a capital gains tax. I think there will be effects on many areas. For exchanges, for crypto development in Greece. There might be a large exodus to avoid this very high tax. They might even not report the full gains. It seems Greece is moving in a better direction regarding crypto. But this condition is something I clearly do not agree with. Although there is a policy of tax-free income of €500. But I read that the tax on lending and staking is 15%, which is very high, like robbery.

[KingsDen]

However, I would like to know how you view this decision?
Is a 10% tax on Bitcoin profits a reasonable rate? And is such a tax system good for the cryptocurrency market,? And what is it like for crypto users? or will it discourage long-term investors?

I would even strongly disagree, it is too high and would be burdensome even though specifically mentioned as a capital gains tax. I think there will be effects on many areas. For exchanges, for crypto development in Greece. There might be a large exodus to avoid this very high tax. They might even not report the full gains. It seems Greece is moving in a better direction regarding crypto. But this condition is something I clearly do not agree with. Although there is a policy of tax-free income of €500. But I read that the tax on lending and staking is 15%, which is very high, like robbery.

In my country such taxes do not exist. The current government of my country loves to tax the citizens and we are being taxed in almost everything and the existing taxes are increased.

I am still surprised that crypto is not taxed yet. It could be because the government hasn't figured out how to tax the citizens through crypto. If they figure out, they will over tax us. I just wish this government will not return to power.

Meanwhile, if government taxes 10% in investment profit, what happens if the person is in severe losses?

[freedomgo]

I would even strongly disagree, it is too high and would be burdensome even though specifically mentioned as a capital gains tax. I think there will be effects on many areas. For exchanges, for crypto development in Greece. There might be a large exodus to avoid this very high tax. They might even not report the full gains. It seems Greece is moving in a better direction regarding crypto. But this condition is something I clearly do not agree with. Although there is a policy of tax-free income of €500. But I read that the tax on lending and staking is 15%, which is very high, like robbery.

The problem is if you are a citizen of that country you have no choice but to comply with the law. Of course it's your choice not to report it, but you should also be aware of the consequences since tax evasion is a serious offense, you could even go to jail for that. Actually that 10% might seem high for those who have not experienced being taxed yet, but compared to other countries that's still low.

[Asiska02]

However, I would like to know how you view this decision?
Is a 10% tax on Bitcoin profits a reasonable rate? And is such a tax system good for the cryptocurrency market,? And what is it like for crypto users? or will it discourage long-term investors?

10% tax on bitcoin profit is not bad but we should not be surprised when tax evasion comes to be on the rampant. Many people own and use cryptocurrency but they don’t use it directly as a medium of exchange because of the regulatory framework of using crypto in their countries. They prefer to swap to fiat through p2p services before spending them, this has already cover up for any investigation on tax to be effected on that spending. This will be more realistic if crypto has become a more legal tender in these regions that this laws will be effected on.

[lionheart78]

I think a 10% tax on Bitcoin profit is fair for everyone, even for long-term investors.  Taxes on profit are already implemented, so having this tax implemented on Bitcoin profit makes no difference from taxes on regular profits.  As a matter of fact, this kind of tax is way lower than the regular income tax implemented on every citizen.  In my country, those who are not tax-exempt start paying taxes at 15%  and go up to 35% accordingly.

I do not disagree with taxes as long as they are reasonable and are not used to bleed individuals.  Although my country's government is plagued with corrupt officials, I support taxation, for this budget is very crucial for development and maintenance,

[Bigjoe33]

Nobody love to pay tax, because it makes you give up your money. But since it's obligational, and it's compulsory you do so, then we have no choice. For me, 10% tax is just too high. Something you would receive without doing anything for the person, and it's up to 10%?
0.5- 1%, something within that range will better.

Those countries taxing even above 10% is been too difficult for investors, because that amount is too high, I think they should revisit and reduce. It's business, and the government should not indirectly high jack the profits from them.

The only thing I like here is the fact that you only pay tax for profits made, and if you don't sell but just HODL, then there is no tax. But the tax amount is a bit high for me.

[PVequalNRT]

Compared to other countries with higher tax rate and complicated rules, I think that 10% is fair. And what makes it fairer is that you are not going to be charged tax just by hodling your bitcoins or just simply because bitcoin's price increased.

No matter how fair they make it, someone who is not willing to pay will still look for means to avoid paying tax. The government on their own part should not increase it unreasonably such that it then encourages more people to avoid tax due to it's complicated nature.

If the government is trying to take tax from people, I don't have problem with them but first I don't think the government have the right to want to take tax from people until they make Bitcoin a legal tender. The government loves anything that will give them tax but will not take responsibility of building a better place for people. If you want 10% so bad, they should be able to make Bitcoin a better investment so as to encourage everyone to invest in Bitcoin.

I also think that tax should only be paid when someone makes profits from there investment, It doesn't make any sense if the government want to take tax and people doesn't not have any profit on their investment.

[EarnOnVictor]

Even 1% on crypto investment as tax is not fair, let alone 10% or 20% or higher. It's the undue cheating of the criminal organisations calling themselves the government, they have ever been unfair to the masses they claim they govern.

Don't get me wrong, taxes are good, especially if the government is showing workings for it. But it's good when what they are getting the taxes for are guaranteed or almost guaranteed; like a true work/job, business, production, salary, etc. But anything that's extra and/or risky should be handled off and let the people continue their luck or lose

[macson]

As far as I know, that's not the highest tax on crypto globally. In Japan, it's around 55%, in India it's around 30% _*cmiiw, so 10% is still more reasonable compared to those countries. But still, paying 10% tax on the profits you make can still feel like quite a burden, and maybe it will discourage some people from investing in Bitcoin. However, it probably shouldn't have such a significant impact on the crypto market in the country because people are still given the chance to swap without being taxed.

[LFC_Bitcoin]

If this is just a 10% tax on profits after selling then it really isn’t that bad. Most countries have higher taxes on investment profits than 10%.

If you enjoy living in Greece and are happy there then 10% isn’t too bad.

I am living in the UK, been here my whole life. I’m actually selling my house at the moment with the plan of moving to a 0% Capital Gains Tax jurisdiction but it’s for reasons other than tax too.

[Muba20]

In my opinion, 10% tax is certainly reasonable and it is a good decision. Some countries have very high tax rates. In Japan, As far as I know that there is a tax rate about 50%. If the government has to pay so much money in taxes, then of course there may be attempts to hide taxes from ordinary investors. Investors will try to find ways through which they can get out of the tax system. Especially those who think that the tax rate is high will keep the assets in their non-custodial wallets and if necessary, they will try to sell the assets elsewhere. Some will only trust P2P. However, I think that if such a decision is taken in Greece, then it is appreciable. By imposing a 10% tax rate, governments will also show a positive attitude towards Bitcoin, which will have a more positive impact on Bitcoin adoption in the long run.

[Pandorak]

Perhaps for most people living in countries with high tax rates, this additional 10% tax may not be a serious issue, it may seem normal or even fair. However, personally i strongly object to the government policy on a tax of this magnitude. While we must comply with every regulation in the country where we live, but nearly every sector is already burdened with tax levies, while the prices of basic necessities continue to rise without being matched by sufficient income growth to offset them, it may take at least two jobs just to meet basic needs for those with families, and now with this additional tax on profits earned from cryptocurrency, it’s becoming even more frustrating. To be honest, there’s a sense of resentment in my heart, but regardless, we must still comply, because violating the law will result in consequences.