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Capitol Gains when converted to cash, in Canada. Keep your records.
by kruhft 9y ago
Capitol Gains when converted to cash, in Canada.
Keep your records.
- coralreef 9y agoWhat about crypto to crypto conversion? Taxable event?
- surds 9y agoFrom what I have read on the matter, yes. If you made gains on one crypto and converted that into another, you own tax on the gains of the first one. How does loss account in this situation? Suppose some crypto has fallen and I am in loss - does this 'loss' (at current valuation) help reduce the tax liability?
- Bluecobra 9y agoYes: https://www.bloomberg.com/amp/news/articles/2017-12-21/tax-free-bitcoin-to-ether-trading-in-u-s-to-end-under-gop-plan https://www.bloomberg.com/amp/news/articles/2017-12-21/tax-f...
- kruhft 9y agoYes, I've heard that as well.
- jackgolding 9y agoAnyone know if this is the same in Australia?
- Mandatum 9y agoUnfortunately no. In AU, you pay capital gains on every single transaction you make - AUD to BTC, BTC to LTC, LTC to anything else. This makes trading regularly on places like Binance incredibly unattractive. There are discounts for holding over a year, and capital losses cannot be used to offset your tax. As an individual you are given a 50% discount however on your CGT, and 20% of your CGT can count towards your personal income tax. If you're trading more than $10K AUD and you get audited, you're in for a world of pain if you haven't engaged a crypto knowledgeable accountant. If you have substantial investments in crypto in AU - once you talk to an accountant who is knowledgeable of crypto (and you'll need to hunt one down, not many are) they'll tell you immediately to incorporate in NZ and transfer ownership to the company. NZ doesn't have capital gains tax for crypto and you can pay yourself dividends.
- jackgolding 9y agoWow I'm glad I asked!