Have you paid your crypto taxes?

It’s actually quite funny hearing it from me.

I am against any form of taxation. ^{but we live in society.....}

Even where I am from, there are millions of people who don’t even own an individual taxpayer number. A lot of people want to avoid it and even my family questioned why I even applied for one. I honestly forgot why I did that but when I was 25, I needed that to open another bank account that allows me to be used overseas. So, I ended up getting one and while crypto wasn’t taxed then, I didn’t really have to file anything.

How it works where I am from

Interestingly, the year after I applied for it, crypto eventually got taxed and the report was automatically generated in the exchange that I have been using for more than 8 years now. So, technically you can report the one that gets withdrawn rather than all the assets that you might have on Dex. But when I reported to them some of my crypto assets that I had, it didn’t even impact the tax that I was paying. Instead, for no reason, this year I have to pay something more than what I was paying last year. One thing that I probably don’t want to happen and I am sure every tax payer nightmare is getting audited.

A positive side on crypto tax

There’s actually a good thing that can be considered when crypto is taxed. If you’re looking at it from a non-political perspective, it adds more legitimacy and builds trust from average people to invest in crypto. It means, it’s just like “fiat” out there that can be earned and can be taxed. When it’s taxed, it means the country also recognized it and we have an option not to hide it. However, the “shady” part and nature of crypto for a lot of people still feels like it’s only riddled with scams and frauds. I think taxing it is a game changer on that part and might change some people’s view on cryptocurrency as something that’s riddled with gambling, scams and fraud.

see you in next tax season 😂

I already paid my taxes and whenever I am done with it, I feel a huge sense of relief and just ready to start another year and make sure that I counted everything. I used to think doing taxes was quite a difficult process but after doing it alone, it wasn’t that bad. I managed to finish it overnight. The exchange I am with has this downloadable report and that’s what I submitted. Also, I remember during a random immigration checkpoint, I showed the staff my tax payer card and weirdly enough I wasn’t really asking my job details or how I was going to fund everything. At the same time, when I got back to the country, having a taxpayer number helps with getting a discount on duty obligations. Since I plan on traveling to some more countries that require a Visa, some of them require us to have taxpayer numbers. So, that's why I think there are some benefits of having it when you’re from a developing country.