Are we taxed like Americucks or do we simply report our overall fiat gain in cash out like civilized humans?
I know it’s our regular tax rate on 50% of our gains but i can’t find if every trade is taxable.
I intend to pay. My rate is 31% this year on 50% so I’ll only pay about 15.5%. I’m gonna be honest with the CRA and use my money openly.
I thought the whole point of crypto was paying no tax ;\
"If you buy, hold and sell virtual currency, and make a profit in the process, you must claim that profit as a capital gains. The portion of the Canada Revenue Agency’s tax code regarding securities exchanges applies to these transactions.
For example, if you purchased 200 bitcoins for $50,000, but sold them six months later for $62,400, you would have to declare a capital gain of $12,400."
cbc.ca
turbotax.intuit.ca
I have a mortgage my dude. I’m hoping icx will lay it off. Can’t use illegitimate money for that.
Transactions made with bitcoins or other virtual currency are covered by the section of the tax code that governs barter and trade transactions. "Under this portion of the tax code, you must declare any income received or expenses made, regardless of whether any actual cash was tied to the transaction."
What if I buy eth then bcash then icx then ven then icx. Am I hit in every trade or only when I go back to fiat. I put in 2300 into ethereum . I trade a dozen or so times. Ride the iota wave from 0.6 to $5. Pulled out around $11k. Do I just report the 11-2.3=8.7k profit or do I need to report every trade?
If you're strictly investing, then generally yes.
>$100 into Quadriga - non taxable event
>Buy $100 of BTC- non taxable event (This sets your cost base)
>Sell BTC for $200- taxable event (Even though the CRA currently has no way to confirm when you've made this trade, you're on the hook for tax on 50% of your gains because you've realized the gain when you went from BTC, which is a commodity as administratively defined by the CRA, to CAD, even though this is on an exchange.)
Mining is a bit more complicated, so I won't go into that.
Source: I wagecuck as a tax professional.
hey, see the part I copy and pasted above your reply. I'm trying to figure this out too, but I think we'd have to export our trade history and report EVERYTHING
If that’s the case I’m fine this year. I bought in September and cashed out early December. So it will all average out to the same overall gain. I assume we can claim losing trades against winning trades. In 2018 though I could be on the hook for trades even if I don’t cash out under this rule.
Can you comment on this
Fuckin Canada. I swear to fuck after I make my Million, I am headed to Hungary.
Of course we're taxed. We Gotta pay for Grinning Idiot Trudeau's new friends the refugees.
I'm not paying tax on transacting for quadriga bux which can instantly disappear at any given time
Does it change anything considering your dollars on Quadriga aren't technically dollars (they're 'Quadriga bucks')? "All acccount fundings are considered to be purchases of QuadrigaCX Bucks. These are units that are used for the purposes of purchasing Bitcoin or other cryptocurrencies. QuadrigaCX Bucks are NOT Canadian Dollars. Any notation of $, CAD, or USD refers to an equivalent unit in QuadrigaCX Bucks, which exist for the sole purpose of buying and selling Bitcoin and other cryptocurrencies.".
And what about crypto pairs like BTC/ETH?
That covers using bitcoin to buy shit. I’m talking about trading bitcoin for eth then ltc then cashing out.
Fuck paying trudeau and reparations for rapefugees, niggers and faggots. I'm cashing out with XMR then buying shit with it to resell
ya canafag here, rrsp loan is my plan of 50k
I don't think there's any notion of a taxable event. You just treat capital gains as income like usual.
I wonder if we can take our crypto gains and deposit 100% into trap thereby defering the taxes. Genius
sure if you keep it as crypto and wait for the world to adopt it.
sadly that's not going to happen though, crypto in it's current state is a joke commodity no one takes seriously
just report your profit vs your invested capital, no need to track every trade
i think it doesn't matter, it's barter laws they find a way to fuck ya
Realized capital gains, I should say. Pretty sure the CRA doesn't care if you stay in crypto or even Quadriga bucks.
50% TAX RATE!?!? WHAT IN THE FUCK?!
This is my plan. I just don’t want to go to pound me in the ass prison. I’m willing to be fair and pay tax on all my gains.
they won't fuck you at all. Even if you are doing a stock trade every day or they won't care if you just report starting capital and ending capital
i personally have a cost basis of near zero compared to my gains, so it doesn't matter (5k vs 300k)
No. You pay tax on 50% of your gains. So if your tax rate is 30% and your gains are 100,000 you pay 30 percent on 50,000 or 15,000. Effective rate is 15%
This is if you don’t trade like crazy ie day trader. If you do it’s 30% of the whole lot.
Yea for me I’ve made so much the whole lot is basically a capital gains so the trades are irrelevant imo. When you put in 1k and pull out 50k who fucking cares about the intial investment. It’s irrelevant
I will just put my cost basis as 0, pretend I mined it, easier
I've never filed gains and losses on crypto to crypto transactions for clients before. Only on crypto to fiat.
Don’t forget to write off 100% of your hydro bills ;)
Seriously though I believe you need a cost basis or it’s income then.
No audits? Have you done this many years? Will I be getting an rcmp visit for using “crypto” the “drug coinz”
Good luck explaining that to an auditor.
Does anyone know if every shitcoin trade is a taxable event in Canada or is that just an American meme?
So it would be reasonable to say that a gain is not realized till it is in CAD?
its literally the second reply in this thread
No that covers using shitcoin to buy steam games. Technically barter. Doesn’t necessarily cover crypto to crypto
Either they won't care, or you'll end up having to pay the bit extra you should have in the first place. It isn't a big deal.
its 50% of your gains relative to your income bracket. so if your bracket is 20% you'll only pay 10% of your capital gainz
That’s not how it works. Oh? You knowingly hid gains? FINE/PRISON
Please don't file like this. The income you'll be sheltering using your "hydro bills" will be eaten up by the fact that you just took the tax position that you mined those coins.
Generally speaking, the position we take for clients who are miners:
>CAD spot rate on day crypto is mined = cost basis.
>If the crypto is cashed out into CAD in a reasonable time frame consistently (ie; not HODLing), then the cashed out CAD is considered business income, and taxed fully, as opposed to being tax as capital gains, which are only half taxable.
So sure, if your hydro bills knocks out your mining profits, then you'll pay no tax, but what you just described would be handing Trudeau an extra fat cheque because you didn't talk to a CPA/MTAX that's worth his salt.
Canada isn't a cunt
That was the vibe I got reading the CRA guidelines.
Hey so for 2017, I've only been putting money in, and trading from coin to coin, and I don't plan to cash out until 2019. What do I need to report for 2017? Thank you
But I'm no expert, you should listen to .
We've gotten re-assessed before.
Been filing for a couple years now.
No RCMP visits, maybe an auditor or two.
He said when he filed returns for clients that crypto to crypto was not a consideration but I’ll let our fellow Canuck speak for himself.
Thanks my dude. I will claim only the realized CAD gain.
if i just move and cash out to a country that doesnt tax crypto and move back...would that be fine?
I don't think so. They'll want to know where you got it from. It would be taxed as a gift or as income.
IF they find out that is.
If you've ever traded back into CAD on an exchange, even though you didn't cash out, you've triggered a taxable event - either a gain or a loss. If you wanna be squeaky clean, you have to report that gain.
If you've only been throwing CAD into an exchange, turning it into shitcoins, and only shitcoins, then you don't say shit on your tax return.
If I send it to my relative and they cash it for me.... Will he or she have to pay taxes?
yeah they would, i would shuffle it through monero first too so it doesnt get linked to you in the future
I am in a situation like this. My dad wanted into bitcoin bad and didn’t want to fuck with the KYC and scanning your passport and what not. I intend to claim his gains on my taxes and paying him in cash. He makes pretty much the same amount of money as I do. No taxes are being avoided. It’s just easier because if withdraw it to my account and don’t claim it, it will raise CRA eyebrows. So I am cashing out the whole lot, claiming all as my own and paying my dad in cash so we don’t get dinged twice on the taxes.
Hmm you think if we shuffle like 10 different currencies in various exchanges... They likely won't catch it? Then voluntarily report the gain...?
>I know it’s our regular tax rate on 50% of our gains
>calls Americans cucks
(Gain/Loss - principle investment)*50 = Taxable capital gains. You cal also deduct fees from withdrawing.
I have relatives that aren't Canadian, so thinking trying to use them if possible. They send money to canada quite often from another country.. So seeing if can somehow get them to pull something.. Anyways good luck user. Paying taxes already sucks balls
just buy monero and then shapeshift/use hitbtc/use binance unverified account to turn it back into whatever and transfer it
monero is user
15%(50% of 30%) capital gains tax is actually amazingly low compared to the rest of the 1st world countries.
Canuckistani
Lost it all fucking internet beans i was stacking dropped my phone in the river ice fishing fml oh welllllll..... drive off in my audi r8 suck my fucking dick government and trudy can lick my massive bertan nutsack
might not even have to go open a swiss bank account...
You realize they only see it if you cash out to Canadian dollars on an exchange. They likely otherwise will never know. I’m wondering if they are tracking buy ins on Canadian exchanges and auditing those people to see if they are getting their dicks sucked in a new Audi R8 on a $45,000 salary.
I used coinsquare to buy ethereum and they got my ID and shit. So if I use coinsquare to cash out... They know I got gains.
Thinking of getting my relative with foreign passport to open an account in quadrigacx.. So using monero might make sense.. Then send to their account.
I didn't know monero was a shape shifting thing.
Thanks user.
Im fairly new to crypto but already floating around 70k usd. If they think im paying any taxes on credit card buy ins prepare for a mcveigh. Already tested a btc atm at 6% withdrawal fee rather that then 50% on gains.
not to mention if i start legit whale^ing i wont be in country at that point.
Aren't captial gains on alt's taxable too? They have laws like if I wanted to trade my Goat, it has a worth. So do alt coins. Theyre bartering laws.
I'm more interested in ownership. Who owns this wallet or that wallet?
So if I traded back into CAD for a few hours during a dip and then bought back BTC I don't have to count that as gains? Is it only capital gains once the money is actually withdrawn into a real bank account? Could we make the argument that the "CAD balance" number on Quadriga isn't legally real Canadian dollars?
yeah i think you are safe with that method, they won't know about your quadriga balance until you withdraw either I'm pretty sure (and even then only if your bank reports it, probably 40k+ or something)
If I withdrew less than 100 cad, will those dollars be taxed?
fairly certain anything under 200 cad non taxable and why even ask that if they send boots to your door for 100 bucks allah snackbar em
Is there a maximum amount that you can withdraw without being taxed if you are not employed like in the US (I think ~30k), or are you taxed on everything.
Thank goodness. I never made thousands of dollars but I needed to withdraw from Quadrigacx just to try it out. Im still waiting.
Best method to do it
>Convert all coins to BTC
>Convert BTC to XMR
>Convert XMR to BTC
>Buy gold from JMBullion, SchiffGold, or Kitco with BTC. Use a friend's address to ship to.
>Send that gold to APMEX and get paid straight to your bank account
1ES3mkZatYanddiMX8zQw1396MNeWahEnj
...
I didn't know you can buy precious metals with crypto. Which sites accept crypto? Even just buying as a gift.
It's a taxable event. If the CRA audits you expect a nice fine.
Not that I don't believe you, but do you know where I can read further about this issue?
>how did you get this gold
>why are you recieving 500k for selling gold
lmao wtf user
you know gold dealers have to keep their transactions for the government the same way banks do right? regardless who you shipped it to, the person who passed the AML/KYC at the point of sale is liable for the taxes. you think gold sellers don't have to report to fintrac that someone just purchased 100k in gold bullion? LOL.
So I should use tether instead?