Cryptocurrencies are taking over the industries and markets. Since the dawn of Bitcoin, the Tech world has been searching for new ways to amaze us.
Bitcoin was a revolutionary form of currency. The creators had amazing plans for it. They stated that it would’ve disrupted a traditional payment system and alter our everyday financial activities. Who could’ve imagined that Bitcoin would’ve been followed by successors? And who would’ve thought that the Blockchain would be used for so many innovations and projects?
Bitcoin is entering practically every market, and people love it. 2018 has seen many attempts from Bitcoin to enter ETF and create Bitcoin ETFs. That’s a new high this cryptocurrency hasn’t achieved yet.
But with all the development, there comes a price to pay. The price comes in the form of a tax. Countries have discussed what Bitcoin actually is. Regulations after regulations come and go. In order to decide how to tax Bitcoin owners and traders, countries have been entering discussion panels and hosting conferences.
Today, companies like Harvex and many others offer professional consultation about Bitcoin taxation. Many offer help from experienced team like this https://www.harvex.io/cryptocurrency-tax/ .You can harvest all the information needed for your good from their sources and be ready to pay your taxes for numerous reasons.
It’s never too late to get involved in the Bitcoin economy, but you need to learn a lot about how things work on Crypto market. Doesn’t matter if you are stepping in as an individual or a company, you need to be ready for taxation.
When do you have to pay taxes as a Blockchain VC company?
When getting profits from Cryptocurrency flow. Most of the times, profit that comes from cryptocurrencies are taxable. But the situations and the rules differ, so you’d better contact a professional team to assist you with this one.
While selling tokens
As a company that issues an ICO and offers a public sale, you have to pay the taxes. As we mentioned above, at some point, the profits that come from cryptocurrency-related actions are taxable.
While issuing a free token airdrop
In most of the time, ICO issuers get profit from issuing free airdrop. Often, users have to do something to receive airdrops. They register on the issuer’s website. They have to either share their link or spread the word about their non fungible tokens list. Either way, the profit that ICO issuer gets is taxable.
While cryptocurrencies are a global payment method, they are still under observation, and some countries have their strict regulations related to exchanging, buying and using them.
The taxation rules affected everyone in the Crypto community. Carefulness and mindful steps are no joke. You should consult with a professional before launching your own ICO. By doing so, you are making sure that your business has a bright and problem-free future.