Navigating the crypto tax landscape: A global comparison

economictimes.indiatimes.com:

cryptocurrency transactions and holdings. As the popularity and use of cryptocurrencies continue to grow, countries around the world are grappling with how to regulate and tax these digital assets. Some countries have adopted favourable tax policies towards cryptocurrencies, while others have implemented strict regulations. In this article, we will examine the crypto tax policies of several nations and see how they handle this evolving asset class.United States of America In the United States, cryptocurrencies are treated as property for tax purposes, similar to property taxes. Transactions involving cryptos, such as selling for fiat currency, token airdrops, mining, or staking, are all taxable with rates ranging from 0-37% for capital gains and income tax. However, holding crypto for the long term or buying with fiat currency is not taxable. Taxpayers can choose to calculate their crypto taxes using either the FIFO (first in, first out) or LIFO (last in, first out) method. Capital gains and losses, cost basis, and keeping records of transactions is important to keep in mind for tax reporting.

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United Kingdom In the United Kingdom, taxes are levied on both incomes in crypto and capital gains, with rates ranging from 10-20%. Selling crypto for fiat, trading one token for another, using crypto to pay for real-world assets, and earning compensation in crypto are all taxable. The UK requires individuals