Blockchain and Crypto related services
If you run a block chain company and plan to issue crypto currencies or NFTs
Digital assets have become a topic of conversation almost impossible to ignore. One only had to tune in to the Super Bowl this past month to see numerous commercials touting several trading companies that are offering the opportunity to invest in various digital assets. Digital assets include several subcategories. Three of the most popular are non-fiat digital currency (colloquially, cryptocurrencies), non-fungible tokens (NFTs) and fiat digital currencies anticipated to be issued by respective central banks in the future. This article discusses cryptocurrencies.
Issuing crypto currency involves planning on Financial Regulations, Tax Rules, Accounting Standards and also Operational viabilities. We have assisted blockchain companies designing coin issuing platforms, wallet companies, operational companies across a number of jurisdictions. Our experts in different fields will able to assist you to set up the structure.
Crypto Currency Investment or Trading
Very broadly, when you dispose of a crypto asset exchange token, such as Bitcoin, you may need to pay Capital Gains Tax (CGT) if you sell the token at a profit. However, if you trade crypto asset on frequent basis as a trade, different tax rules might apply.
Equally, you may have to pay other taxes if you receive cryptoassets.
If you’d like a summary of the main tax implications from buying, selling and investing in cryptocurrency, we can assist you in the following aspect
What is cryptocurrency?
Where is cryptocurrency located for tax purposes?
Do you pay tax on crypto gains?
Crypto Capital Gains Tax rates
Crypto miscellaneous Income Tax rates
How much tax do I pay on cryptocurrency?
When do you pay tax on crypto?
Paying crypto tax as a business
The tax treatment of cryptocurrency is subject to change due to the evolving nature of the underlying technology and the tax authorities evolving interpretation of the tax rules.