Crypto Taxes 2022: Too many Rules & Regulations

avatar


"Crypto gave people a way to earn when there were no jobs. Now they will have to pay flat 30% tax even when they dont fall under tax slabs + lock capital as TDS every time they trade.
This new tax policy will hit small traders & investors".

CryptoAdy


income-tax-gf24be2e5f_1920.jpg

Image by Stevepb From Pixabay


While alot of people are looking for a crypto tax calculator to know how much to pay to the government, others are complaining about the high crypto tax fee. I've been reading some interesting tweets and posts. From the #reduceCryptoTax petition in India to the #TaxTheRich. I can only be a spectator to these events as in my country, crypto is banned. So that means No crypto tax.

untitled.gif


Actually, we don't pay crypto tax because we live in Nigeria.


Will Everyone Pay Tax on Their Crypto?

No. Crypto taxes are for people who made gains on their capital/investments.

A capital gain occurs if you sell a crypto for more than your initial investment. For instance, if you buy one bitcoin for $20,000 and sell it for $50,000, you have made $30,000 of taxable gains. In other words, if you make profit from the sale of a crypto or a non-fungible token (NFT), you trigger a taxable event in the eyes of the IRS.

This is according to CoinDesk talking about;

Investing Crypto Capital Gains and Tax Rates 2022

In this article, you can read more on how crypto capital gains are determined. It also explains taxable events which helps for you to know when you can dispose crypto. I think it is very useful in this tax season.



What Exactly Is happening In India?


Petitions are have been signed to appeal to the government to change their mind over the proposed crypto tax rate. The government proposed a 30% tax on crypto income.

#reducecryptotax is a trend now and many Indians are coming out to Express their concern over the matter.

The petition asks Prime Minister Modi and Finance Minister Sitharaman to consider five requests.

The first request is for the crypto industry not to be treated like the betting and gambling industries. The second is to bring the current proposed tax rate of 30% in line with the tax rate applicable to stock market transactions.

Furthermore, the proposed 1% tax deducted at source (TDS) should be reduced to 0.05% and “Loss set-off and carry-forward should be allowed since crypto markets are in their initial stages and are highly volatile.” The cost of acquisition should also be defined “to include exchange fees, blockchain network fees, interest payments, royalty payments on NFTs, etc.”

News source

While this petition looks very demanding and might not favour the government, I believe the government can do these things easily if they want crypto to stay.
What do you think?



Bullish Or Bearish? How Is The Month Of March Shaping Up to be?

How much would the crypto tax payments affect the market? Is the month of march going to be bullish or Bearish?

First, I'd like to say i don't think we are in a bear market currently, while it looks like there's been a lot of red candles lately, I still think we are doing very fine above $35,000 (BTC). Last year we dropped far more than this plus a simple run could mean we are heading to $60,000.

Good News!

untitled.gif

@edicted predicted that the month of March would be bearish because of the tax payments. How is that good news? Oh well, the opposite always happens.

In his post talking about the Market

November and December and January were bearish. This gives us a ton of dry powder to bounce in Feb, even if it's a dead bounce that's doomed to deflate in March, the rest of Feb should still be pretty damn good. Even if we retest $40k in the next week I still expect that we'll see at least see $50k and perhaps even $55k by the end of the month. But again, I'm not going to make any big trades based on this prediction.

Well, you can make big trades on the prediction. however, make them in the opposite direction.

untitled.gif

What do you think? How much will the crypto Tax payments affect the market in the upcoming weeks? Is the rules and policies not too much?



Some of my articles you might like...

They Call It Internet Magic Money

Blogging On Hive : The LeoFinance Factor

Centralization Is An Abomination, Decentralize Everything!

MONEY MONEY MONEY.



samosti 2.png

The best.jpeg

I am @samostically,I love to talk and write about chess because i benefited alot from playing chess. sometimes i share my thoughts on life in general and i write about my love for hive!
I love to engage with others and i love communication.I believe life is all about staying happy and maintaining peace.

♟♟♟♟♟♟♟♟♟

samosti 2.png

Gifs via tenor

Thanks For Reading!

Posted Using LeoFinance Beta



0
0
0.000
1 comments
avatar

Congratulations @samostically! You have completed the following achievement on the Hive blockchain and have been rewarded with new badge(s):

You distributed more than 6000 upvotes.
Your next target is to reach 7000 upvotes.

You can view your badges on your board and compare yourself to others in the Ranking
If you no longer want to receive notifications, reply to this comment with the word STOP

To support your work, I also upvoted your post!

Check out the last post from @hivebuzz:

Hive Power Up Month - Feedback from February day 22
0
0
0.000