XRP and TAX

[Starskate]

Iv noticed that XRP profits in some countries is Taxable.    This would mean that any account you may have , In my my case Australia, has all the information required to tax and profits made on XRP..  Iv seen on line that there are countries that are tax free on XRP profits.  These are Germany, Slovenia, Belarus, and Denmark.   

Anyone looked into this and or have accounts in these countries, and correct me if Im wrong, but if XRP takes off, am I really liable for taxes in Australia,   Good question ? is it not ?. 

[Pablo]

If you are Australian and make a profit from cryptocurrency trading, you are likely to be liable for taxes in Australia but the type of tax treatment depends on whether the ATO views your trading activity as that of an investor (subject to capital gains) or trading for income (subject to income tax). If you do a search, you'll find plenty of discussion about it on the site.

Also note that the ATO is adding a lot of resources and technology to track cryptocurrency trading so if I was you, I'd be finding a good accountant to provide sensible tax advice rather than trying to wing it yourself and being stung during an audit. A lot of Australians on this site have done their homework on exit strategies, self managed super funds and the tax implications as it largely depends on your personal circumstances.

Enjoy!

[RippleHerToShreds]

9 hours ago, Starskate said:

Iv noticed that XRP profits in some countries is Taxable.    This would mean that any account you may have , In my my case Australia, has all the information required to tax and profits made on XRP..  Iv seen on line that there are countries that are tax free on XRP profits.  These are Germany, Slovenia, Belarus, and Denmark.   

Anyone looked into this and or have accounts in these countries, and correct me if Im wrong, but if XRP takes off, am I really liable for taxes in Australia,   Good question ? is it not ?. 

Worry about it when XRP gets back to a Dollar post 2020'ish. Then, if you got a lot of tax to pay, move to one of the countries you mentioned and pay zero there!

[Global]

Most of these countries will have established taxation by then.

[podenco]

On 8/12/2018 at 4:32 PM, Global said:

Most of these countries will have established taxation by then.

Is there any list of countries where you have to pay taxes on XRP profits? I am still not affected by this but would know which countries do have the taxes and which dont.

[Donkey]

On 8/12/2018 at 2:45 PM, Starskate said:

Iv noticed that XRP profits in some countries is Taxable.    This would mean that any account you may have , In my my case Australia, has all the information required to tax and profits made on XRP..  Iv seen on line that there are countries that are tax free on XRP profits.  These are Germany, Slovenia, Belarus, and Denmark.   

Anyone looked into this and or have accounts in these countries, and correct me if Im wrong, but if XRP takes off, am I really liable for taxes in Australia,   Good question ? is it not ?. 

These links point to the Australian Taxation Office's stance on cryptocurrencies so the information contained within the pages should be pretty conclusive.

Tax treatment of cryptocurrencies

https://www.ato.gov.au/General/Gen/Tax-treatment-of-crypto-currencies-in-Australia---specifically-bitcoin/

Record keeping

https://www.ato.gov.au/General/Gen/Tax-treatment-of-crypto-currencies-in-Australia---specifically-bitcoin/?anchor=Recordkeeping#Recordkeeping

Additional information

https://www.ato.gov.au/General/Gen/Tax-treatment-of-crypto-currencies-in-Australia---specifically-bitcoin/?anchor=Additionalinformation#Additionalinformation