CGT

EmuSea4963

They already jacked up capital gains tax and lowered the yearly CGT allowance. If Bitcoin moons, the gov is definitely taking their slice.

Strong_Judge_3730

Don't, this is stupid any lender will require you to put your btc in a margin account where it may be liquidated. You are essentially giving away your btc to someone and trusting they don't steal it so you can leverage it The best you could do is use a smart contract like wraped btc on MakerDAO. However converting to wraped btc would be a CGT event and you are still vulnerable to protocol manipulation and bugs. Defi is more centralised than BTC so is more likely to have shenanigans

usx-tv

UK here Crypto falls under CGT. Staking rewards fall under income. Altcoins are much higher risk than bitcoin. If holding 250 of bitcoin makes you uneasy, don’t even look into them. You need to study bitcoin to really understand it. Understand how it works, from an economical perspective is enough if you don’t want to dive into the tech. Start by reading “the Bitcoin standard” and move on from there, to understand why some, like myself, have most of their net worth in bitcoin.

Shaykh_Hadi

Just CGT. Bitcoin is zero risk longterm so I’d say there’s no reason to be hesitant. Buy Bitcoin, not crypto. The risk of Bitcoin disappearing is ZERO. It will always go up over a long time span.

rjm101

From what I understand Thailand has 15% CGT on crypto so it shouldn't be on the list.

NOmakesmehard

you will still be liable for CGT upon your return to the UK if the period abroad was less than five years: https://www.gov.uk/tax-return-uk

Life-Duty-965

Note that this is from the German point of view. Your own gov may have other ideas. A British citizen would still owe HMRC CGT if they loved on Germany for a year and sold.

JamesScotlandBruce

This is the bit from that article that applies to our scenario I think. Part 2. 2. Tax when principal tokens loaned out You may find that capital gains tax applies when entering and exiting a lending position. The capital gains tax position of the principal tokens locked away/loaned out needs to be considered: at the time of loaning out your cryptoassets and at the time of receiving the repayment of your cryptoassets HMRC may consider these events a taxable disposal, subject to CGT if beneficial ownership of the tokens locked away/loaned out have been transferred to another party. Where there is no transfer of beneficial ownership There is no disposal for capital gains tax purposes upon entering or exiting the yield generating activity. The reward is subject to tax when received, depending on whether it is income or capital in nature as previously explained. Where there is a transfer of beneficial ownership When a transfer of beneficial ownership occurs, there is a disposal for CGT purposes. The tax treatment differs depending on whether the reward is capital or income in nature - please refer to our [technical tax guide] for all possible scenarios. Beneficial ownership Beneficial ownership It will be the responsibility of the taxpayer to decide whether or not beneficial ownership has been transferred, yet this is a complex legal matter with very little in the way of supporting guidance and examples from HMRC. It is recommended that professional, legal and tax advice is sought regarding your specific circumstances.

Conscious-Drawer-137

I think this article refers to staking crypto? It refers to CGT but that would only apply if you sell BTC….

slvbtc

Logging a transaction as a capital loss is still adding to the record keeping burden. What this type taxation regime means is bitcoin activity will stagnate while in jurisdictions where there is no CGT bitcoin activity will proliferate and flouish. Now replace the word bitcoin with finance and its easy to see that taxing bitcoin usage will turn some countries into financial backwaters while countries that do not tax bitcoin will become the financial hubs of the future. Dubai and Singapore do not have CGT therefore they do not tax bitcoin usage at all by default meaning they will become the worlds future financial hubs while places like london and new york become the stagnant financial backwaters of the world.

Life-Duty-965

What's the point of you don't sell it The narrative around never selling is crazy If we all held until retirement and then suddenly flipped from $100s buys to $1000 sells it doesn't take a genius to predict the market quickly plummeting. If 10% of the community start selling for 10x what they were buying at, you've flipped the market. Only 10%. We all need to sell The question is when... The people who won't come out with a share are the ones who are fully FOMOd in. But you can't think about what you might miss. That's how you lose this game. I'm one of those annoying accidental early buyers and I just sell my CGT free allowance each year (UK, £3k) and will do so until I die or it blows up. BTC isn't making any of us millionaires lol Getting out on top makes you a winner. Maybe not the biggest winner. But most people are going to be losers so you're good.

Life-Duty-965

It could be any price. Why not make it 100m! The same people would buy some each month regardless. DCA locked in, spare money goes into the system. No one cares if they get back 0.001 or 0001. As long as you keep stacking, right? Higher price means you get less, but you're really happy about it. The system works because enough people have been convinced not to sell. This all changes when the community stops working. They put on 100s and they want 1000s back each month The market dynamics is now flipped. Every person who flips needs 10? Or 100? Or 1000? People to replace them. People aren't getting richer so the only way you can replace yourself as a buyer, and cash out, is to find many more people like you. If you do that maths, you actually only need maybe 10% of the regular buyers to switch before the market dynamics are such that more money is wanted out than going in. The second that happens, price collapses as everyone desperately tries to get some of their life savings out. I don't think bitcoin will "die" but price will collapse and a generation of retirees are going to spend a lot of time and energy trying to convince people to pay the prices they did, and more. So yeah, for now, whilst everyone agrees not to sell, the price can absolutely keep going up and up But eventually, y'all gonna want to see that return. Who's gonna blink first!? As a 2014 incidental buyer, I just sell my tax free allowance each year (£3k CGT free in the UK). I'll keep doing that, possibly for the rest of my life and today's prices.... But I'm not going to plan my future around it lol

SHIBA_INU_PROPHET

Sorry for your loss fren. There are capital gains benefits in Aus if you hold your crypto assets for 12 months (50% reduction on 50% CGT). Would be similar in most Western countries I'd imagine.

Miserable-Dot9348

Transfer to your mums, if you’re able to talk your accountant/mums accountant to see if it’s liable for any CGT when transferring over. If not it should be fine, it’s better to have in her account so she has control.

ManlyAndWise

Half serious answer: wait for BTC to 20x. At that point you will have a nice stash and you will be able to pick a country with low or zero CGT. Last time I looked, Luxembourg (a somewhat sleepy, but very beautiful Central European Country) will likely give you a Visa with great enthusiasm. Calculate with EUR10k per one square meter. Your around EUR 2.2m will buy you a nice 70SQ flat with close to EUR700k, and you will be able to easily spend 3 or 4% of the remaining yearly as you enjoy the constant appreciation of your savings, so you get richer, not poorer, with the time. of course, this requires being able ot wait for the 20x, but you get the drift...

ManlyAndWise

Don't they have a CGT of 28%. I understand real estate will be cheap, but OP will end up paying taxes again and again...

Inevitable_Data_84

At the point of retirement I wouldn't have bought Bitcoin for a year (maybe). In Australia there's a 50% discount on CGT if you hold for > 1 year. Currently our capital gains can be determined by FIFO OR DCA to calculate liability on tax here as long as there is a reasonable methodology to your calcs. Tax is a nightmare when it comes to this but I haven't sold yet

The-maulted-One

Different time with different metrics, sell your bitcoin & pay 30% CGT, you ain’t buying back in.

BitcoinMaxiBurger

I am not selling until they got rid of CGT for BTC in my country.

Aussiehash

It's up to you, would will have to pay 25% CGT.

BitcoinMaxiBurger

Biggest problems: Usability and Legislation Imagine if banks can hold your Bitcoin for you. And there are legislations to treat it as currency (no CGT) and there is a FDIC deposit guarantee. Bitcoin use will skyrocket as consumers can now use it on a daily basis with tap and go and have reassurance from losing it. That scenario requires multiple legislations and institutional adoption. We are getting there, i think.

Dettol-tasting-menu

It’s pretty simple If your tv costed you 1 million sats ($1,000 in today’s price) And you first bought this 1m sats for $300, then you made $700 capital gains on it. And you need to pay tax on the $700. ($700 x your tax rate) This sounds like a shitty deal (it is, hopefully one day the bitcoin CGT will be abolished), but even including the tax, you’re still coming out ahead. Say you pay $200 tax on the $700 gains, you still got yourself a $1,000 tv for $300 (purchase outlay) +$200 (tax) =$500. Your tv is half price. After a cycle or two, everything you buy with bitcoin will be on huge discount.

redeembtc

>Seems highly unlikely BTC will be completely tax-free. USA or elsewhere There are already currently countries that don't tax CGT on profits on Bitcoin.

Adorable_Exchange223

I think the marginal use case would be something like, say you need 20k for a new kitchen. Your options are: \- borrow cash unsecured at 11% \- or sell some of your BTC, take a CGT hit, and miss out on any future gains. If you can borrow against your bitcoin, even at some rip-off rate like 9%, but you think that BTC is going to the moon in the next year, then this might be worth it. But you'd probably be better off putting your spending onto a 0% credit card and saving cash that way.

CiaranCarroll

\> infinity Nothing goes to infinity. It'll be like today but no state can print the denominator. You will have to spend Bitcoin in order to eat and live and work somewhere, you can't eat it. So it will get deposited in distributed or single signature wallets as collateral for debt, and you'll spend the currency you borrowed. Maybe the currency you borrowed is a cryptocurrency, or a traditional fiat currency. But maybe states become so weak relative to their constituent parts that they give up on fiat and make Bitcoin legal tender so you don't pay any CGT when you spend it. Either way you have to give it to someone else, either permanently or temporarily, in order to buy things that you need to live. The fact that you won't do that until the price offered for it is very high gives it value. People who have more of it will be considered rich, but if those rich people offer nothing to the market or society they won't be able to keep it. I think you're questions are very confused. Think slower.

otherwayup

Another thing worth considering if you don't want to cash in yet, is to swap to wrapped tokens to make use of this year's 3k CGT allowance. Eg: swap BTC for WBTC; this counts as a disposal of BTC. Then as long as you wait a month (just like shares), you can swap back again if you want/need to (which would be a disposal of WBTC).

Intrepid_Guidance_57

As long as your sending to a wallet you own you haven’t sold which would incur CGT. You’re all good my friend, get that BTC off of Coinbase now!! It’s not yours until you do it.

GiverTakerMaker

Something that a lot of folks are ignoring is that a some of these big OTC trades are moving bitcoin from the fat wallets of whales into the corporate coffers of companies controlled by those whales. I expect the CEO/whale then gets to charge the company a massive consultancy fee/ trade facilitation fee. They avoid CGT and get to "legitimise" their bitcoin and they get paid to do it. And it prevents too much pressure on the market. The futures market allows significant price manipulation at the moment since there is such a small amount of bitcoin in actual circulation. Constant front running of big trades by insiders is going to extract a lot of liquidity from the market which further suppresses the price. Plus I would expect there are plenty of ways sophisticated insiders can arvitrage different plays, microstrategy, ETFs, spot, futures ... for profit. Again extracting value from other market participants... If you don't want to get screwed, take your coins off the market.

GiverTakerMaker

Tldr: it is easier said than done. 1. There is a spread between buy /sell offers on the exchange and larger orders will be competing to HFT bots for liquidity. 2. The exchange is charging a fee on your orders. Use limit orders they often have lower fees. 3. Most likely this is a KYC exchange so you will be hit for CGT. 4. Lastly, sooner or later the market will aggressively and there is a good chance you will be on the wrong side of the trade. A good strategy is to use multiple exchanges and to simultaneously place buy/sell orders. Indeed many exchanges even offer bot trading products to do automated grid trading. To execute this exact strategy. All those things eat into the profit. But yes, you can do it. It is called spot trading. Do the math first to figure out what size move in price is necessary for you to make a profit worth the effort.

doyzer9

UK tax man only wants to know if you sell £50k crypto in a tax year, or make more than £3k crypto profit in a tax year. No one cares how many times you move it. Only when you sell or convert it. UK CGT is 18% based rate & 24% HR, used to be 6k tax free, but labour halved it last year. 🤔🤔🤔

No_Leather_3676

BTC isn’t viable as anything but a store of value now and people saying with hindsight how it was always the only choice, it more than halved in the last bear market! Well done to people who thought that was a great purchase opportunity. The advice I saw was always to look at what had real world use and actual value, not just what was a trend. XRP filled that for me and not BTC. I don’t see the recent changes being any different going forward. If you’ve got BTC then it would be wise to jump ship to XRP. Especially when you ask yourself. What does BTC do that gold doesn’t? Then consider that you don’t pay CGT on gold. Good luck to everyone, whatever you’re holding, flipping, or hustling.

sherbert141

I feel like the point getting lost here is that Bitcoins price is not a set thing determined by some governing body, just like many things we buy (cars, houses, eggs, pet llamas, etc.). The key is that the price was agreed upon by the buyer and the seller, and that’s what the IRS cares about. The person paying the debt is likely the one who owes more to the IRS depending on when they bought that bitcoin, because this counts as a sale and subject to CGT.

BitcoinMaxiBurger

and this is the exact reason why BTC will not be an everyday currency. It is not BTC’s fault, but as long as every transfer is treated as a CGT event, everyday adoption will be hard.

redeembtc

Why would you do that for a less than a measly $1.5K gain, before taxes and fees? And resting the 59% CGT discount in the process?

SpaceFaceMistake

I agree with the respective Alt-season I don’t know but it’s not over. In general IMO. Just as I don’t believe (my beliefs) that $btc isn’t done yet. So then all the other market isn’t done. Also alts dropped hard and well rose hard on BTC ATH I mean I don’t know how long we have to wait for price action like last alt seasons. I understand the whole principle and that it’s a “copy” of last season or every season but just because they squish data to look similar don’t mean it will happen as slow or fast as the last time. I mean we could see all alts go up NOW WHILE $BTC pumps also. As we saw over November-December 2024. I just think (not you) just many new followers go for the majority opinion and take it as truth or the most true. I say go research and find the answers you want yourself then compare to others. Never use others ideas like don’t believe me research what I say or others say. I only want to help others make good decisions but end of day I’m no advisor for finance or crypto. We all make our own trades. I just over the people saying on Twitter every day “Alt coin season starts this week” or whatever and never happened then change their view to market is crashing this week then never happened and they have massive following manipulating market for personal gains. As most or the large % of people don’t trade properly or they don’t know how to save fees trading not swapping as a new person I learned this early on. Use markets like if Cb go in advance to save fees sell and then buy coins don’t swap. You loose to much. But if it’s comfortable for you and don’t want the tax offset or income swapping negates that. Except when you sell for CGT. Anyway

Mad4it2

>Nobody's life is "being destroyed" by a fiat system. You have completely lost your mind. Of course it is. FIAT is backed by nothing. The US dollar is backed by the US military. Inflation, the money printer, and CGT destroy FIAT savings.

Physical_Albatross31

Lol how are they enforcing CGT on crypto?

docherino

Absolutely, they want everyone being slaves. Thats why the CGT is so brutal

anthony_yager

Hey dude, when you hold the Bitcoin for more than a year the CGT is halved. So you have doubled the tax you estimate paying.

DellaMorte_X

Asset backed loans buddy. Never realise the CGT.

VagueInterlocutor

You live in a place that has a CGT rate of 20%? I hear the folks in Canada are about 50%, but it's going up to 66% next year? Canadians: Do you get reductions for holding the asset longer, like over 3 years?

iwonderthesethings

In Australia, we’d only be paying CGT on 50% of the profits after 1yr of holding. So 39.5% (or whatever it is) on $75k. Not $150k. Is it not the same where you are?

Kruxx85

How does CGT work in the US? In Australia, it's added to your income, and income brackets. Which works quite well when the idea of inflation beating assets is to survive out until retirement (no income).

eightslipsandagully

Eh that's kinda why I'm not as opposed to CGT in a vacuum - if we tax labour at a higher rate than Capital Gains it just worsens inequality

slvbtc

Inflation is the biggest scam ever perpetrated, and CGT is just there to rub salt in the wound making it so even if you try to protect yourself from inflation you cant.

SkillForsaken3082

In your example inflation was 10% and the capital gain was 20%. This is solved by the 50% reduction in CGT

Superest22

20% tax - that’s incredibly low. CGT discount after a year is good though (here at least)

mcjohnalds45

Take a loan out against your BTC to avoid CGT. Or look into tax loss harvesting.

Robbieworld

In Australia we do that calculation to adjuat cap gain for inflation, i thought every country dows that for CGT.

Burgermitpommes

I will take my BTC to the most attractive country to liquidate it in, from a tax and quality of living perspective. These jokers of nations who want inflation-ignoring CGT at 20% are having a laugh.

Sufficient-Cash-5850

I could be mistaken, but if you have been a tax resident in Ireland for at least 3 years, then I believe you retain "ordinarily resident" status for 3 years after you leave. During that time, I think you are still liable for CGT (but not for tax on foreign income). If I understand the rules correctly, you're legally liable for 3 years to pay CGT: https://www.revenue.ie/en/jobs-and-pensions/tax-residence/ordinarily-resident-tax-purposes.aspx. Maybe talk to an Irish tax accountant.

Taylormade999

I am not saying this with certainty, but my understanding is that you would be due to pay capital gains tax on any crypto currency bought in Ireland if sold within 3 years of becoming resident in a new country. After 3 years there would be no CGT to pay to the Irish government. I would suggest getting tax advice from an Irish accountant though, as I am not one.

Scottex99

No CGT

Inside-Definition-42

Check the Spanish rules if you could be a tax resident there in the next few years. A former UK Tax resident effectively needs to stay non-resident for a minimum of 5 tax years to avoid having to pay CGT on returning to being a UK tax resident.

Interesting_Loss_907

Unless I’m missing something, no countries are taxing unrealized gains at this point, at least not for individual investors. Are you aware of any countries where OP might reside where he would owe CGT on unrealized gains?

Interesting_Loss_907

Sorry OP, but you seem extremely confused about taxes. If you bought bitcoin last year 2024 and held it you do not owe any taxes in April for the bitcoin specifically. If you sell for a gain at any point during this calendar year 2025, then you will owe capital gains taxes only on your game, but those taxes would be part of your filing in 2026. Either way the amount you owe for CGT has nothing to do with whether you file your taxes in January March, or April. The date you file does not affect the amount of capital gains you accrued in the prior year. And the gains from the prior calendar year, determine how much you owe. And no, there is no reason to believe that December 2025 will be the peak of the bull market. To the contrary, based on historical cycles, the bull market peak this year could be any time during the year, but more likely around the summer or early fall i.e. 14 - 18 months after the last halving.

The_Pig_Man_

It might be worth moving to Portugal or somewhere similar where there is no CGT on crypto for six months or so to sell off your stack if you have no family or job commitments keeping you where you are. You can always do a wash trade to reset your buy in point. You could save yourself a heap in taxes doing something like this and treat yourself to a nice holiday at the same time.

skydiver19

Your title doesn't make much sense. It doesn't matter what crypto or stocks or shares you buy, CGT is the same.

BarakEmbalma

I agree but isn’t CGT 24%

TripsterX

Im 25, and plan on holding my BTC until ideally when im 50 years old somewhere around then. Obviously that could be easier said than done but ideally that's what I want to do. Here in UK, our crypto capital gains tax is 40% on profits made, so I'll be migrating to a country for 5 years with no CGT, before withdrawing. Not a chance in the seven seas am I giving the government half of my bitcoins profits that I have built over 30 years 😅

Interesting_Loss_907

This is incorrect (at least for the US). When you convert one crypto to another it’s considered a sale of the first one & is indeed subject to CGT if you had a gain.

LipTicklers

If trump now announces no CGT on eth, xrp etc then theres going to be one massive RIP

Pacman_Frog

The issue is CGT applies to all assets.

Extreme-Package-5156

In NZ they blanket BTC as property no matter the transaction type. So you end up paying CGT in a FIFO format for purchasing a coffee. Our country is backwards thinking.

hryelle

The growth of BTC far exceeds the mortgage interest rate. Consider the BTC an emergency fund you can use if shit hits the fan and you need to make payments but don't have a job. It makes no sense to pay off a 3% debt by selling an asset that has a 5 yr CAGR of 60% and incurring CGT. Smooth brain move.

BoofBass

Take out enough to pay off mortgage and CGT. Keep the rest and don't look until you retire.

cooltone

It will not be long before the UK joins them. For CGT the govt. has reduced the tax allowance from 12k to 3k and just recently raised the tax rates the headline rate going from 20% to 24%. They are now talking about making surpluses in defined benefit schemes available for investment, they don't have the money to fix the schemes when they go negative. So it's not unreasonable to expect them to believe they can start taxing unrealised gains.

barnshaw292

No CGT covers a wide array of areas in which you may receive money/income, not just from buying and selling, inheritance is one of the areas CGT covers also. I would again recommend speaking to a financial advisor as the amount is large and its from overseas, they will work out how much CGT you may have to pay (if any) and can even help you submit any required tax reports for HMRC.

barnshaw292

You should seek proper financial advice within the UK for this amount But I believe you will still be liable to standard CGT rules in the UK as a basic principle

Recoil22

Dunno a out property but this is what I found in afew seconds of searching As a general rule, for investors: crypto assets are taxed as CGT assets, including for self-managed super funds (SMSFs) investing in crypto assets rewards for staking crypto are ordinary income for tax purposes. https://www.ato.gov.au/individuals-and-families/investments-and-assets/crypto-asset-investments/what-are-crypto-assets

hryelle

Depends if the rate of BTC growth exceeds 27% over the life of the loan plus the CGT op will have to pay.

hybiz

Have CGT BUT - there should be a tax cap. No individual should have to pay more than say $20K in tax a FY, across all sources. Harder one earns the more reward instead of losing more.

Many_Revenue_6928

The buy borrow die strategy is probably more theoretical than real. In many places it makes no sense at all (here in the UK inheritance tax is more than CGT so it would be absurd). But the reality is that the rich almost always own income generating assets (like property), so don't need to borrow against their assets anyway. 

GiverTakerMaker

Simple trading plans low leverage... use the excess capital to reduce liquidation price every impulsive move sell 10 to 15% every dip buy back what you sold. Always use limit orders... Make sure to trade on NonKYC exchanges... always deal in peer to peer... zero CGT.... You can trade on Fib levels and/or simple indicators like RSI, MACD, or cumulative volume delta and divergence... bitcoin is so easy compared to traditional markets... However, most noobs have no idea what any of that TA even means... and should be well advised to steer clear of leveraged trading... Like you implied.. how modest the skillset needs to be is subjective.

flyingbuddha_

Because there are CGT benefits to holding a stock that somewhat follows BTC price that you don't get from holding BTC itself.

jeffereeee

For BTC to become a currency we all use all over the world. It needs to spend a few years being a asset, with no volatility and no CGT. We are still pretty early.

quazatron48k

You’re confusing income tax with CGT.

hideousmembrane

CGT is for any taxable event, which includes swapping if you made profit. Yes that is possibly coming for US citizens, but I'm not from US, and most countries will still be paying tax, in some cases even more tax

Substantial_Bear5153

No, I don’t mean just Germany, I mean my country. Germany is in fact screwed because every crypto to crypto swap is a tax event, while over here only fiat on/offramp are considered as tax events - you can swap to stablecoins as much as you’d like without interrupting the 2 year countdown to zero CGT

skydiver19

If you earn less than ~£52,700 you are low income earner ( 20% income tax ) and the CGT was 10% which has now moved to %18 If you earn more than that, then you are a higher tax payer ( 40% income tax ) and the CGT was 20% which has now moved to %24 Both of which come with £3k free allowance in CGT, use to be around ~£12,500 2 years ago, reduced to £6k and now £3k If you earned £40k for the tax year in salary/income and you have realised profits of £30k BTC/Shares then you get £3k free allowance which leaves £27k Because this amount combined with your income brings your total income to more than the £52,700 you are taxed (CGT) in two portions 18% and 24% retrospectively for that capital gain.

cryptohazzar

Australian CGT is based off income so itll be different depending on who you are

nobbynobbynoob

Singapore is an extremely difficult country to *immigrate* to legally, same as most in Asia. If you have the ability somehow to land a job in Singapore that a citizen or immigrant "cannot" do, you could be sponsored for an Employment Pass to live/work in Singapore as a guest worker. This probably doesn't affect you, but in Singapore going anywhere near a meaningful amount of controlled substances runs a high risk of an appointment with the hangman - and he's been busy lately. Currently, next-door Malaysia, a beautiful jungle country, has a non-immigrant visa scheme called MM2H, which allows you to live here long term if you have about 120k US$ spare to lock up in the bank, plus extra to be a cash buyer of property. The state of Sarawak has slightly more permissive rules. Currently, CGT in Malaysia applies only to real estate (30%) as well as corporate asset disposals (10%), but not to individuals making occasional sales of assets like BTC. Trawl the entire world for options though; D.Y.O.R.. Good luck!

Secret_Nobody_405

I wonder if they have to pay CGT?

jorcon74

Who wants to pay CGT on their bride money! That’s not fair!

CosmoRedd

You have two options to get around CGT: 1. Move to a country without CGT. 2. Get a loan against your portfolio (collateral).

Many_Revenue_6928

I think this risk is wildly overstated. Unless you have no home and job (in which case the impact of your emigration are pretty minimal), the schlep of moving abroad is not justified unless your profits are absolutely huge. I'd far rather suck up 300k+ CGT then deal with all the issues of resettling somewhere new. It's enough of a PITA just having a holiday home abroad.

mpm206

CGT rates also went up.

TomSurman

I'm so salty about CGT. The threshold used to be decent, but they halved it and then halved it again. And to add insult to injury, the next government came in and increased the rate. Bitcoin holders are getting absolutely rawdogged.

uncapchad

No other way to add BTC exposure to retirement etc. Retail are Forbidden access to ETFs, can't even trade the lone ETN. No way to add native BTC to retirement funding. All we can do is add MSTR to personal pensions and continue on our DCA journey where CGT threshold has been horribly slashed. Thou shalt not escape the fiat system.

Frequent_Goal6010

Thanks for your response... to start i am from the UK. Our tax year runs April > April every year, so i still got few months. I withdraw all my money the other day after the loss on Ethereum network (£3000+) and decided today to redeposit and buy bitcoin (which i previous sold for a profit in the last week or so) I deposited £10,000 today and had a cost basis of **£6,529.50**... the rest must be the wash sale? My capital gains at the moment says its -£1,737.36 and we have a £3000 tax free CGT allowance in UK this year. When i eventually sell my position will the £3000+ from wash sale be added onto the capital gains?

burner338932

Yeah thats the change that is being worked on. But currently they tax a fictitious tax on estimated gains regardless of the reality. I did receive a letter about this getting backdated. But yeah, i misspoke. The fictitious gains is about 6% and 32 % tax of that. Which effectively means a box 3 tax on 1m EUR worth of crypto is almost 20k eur. Honestly i prefer a CGT on realized gains instead. Which is as of 2025 im no longer dutch tax resident

redeembtc

Why did you sell all? Why didn't you only sell enough to cover the CGT?

VonnyVonDoom

Didn’t trump tell y’all he was killing the IRS, CGT and income tax? So we can just hold off on filing and wait for the man of his word?

nobbynobbynoob

This works well, except during a price mania when one might wish to sell. I have already prepped for this by living out of a suitcase all over the world, so as to become tax non-resident in my native country, thus legally escaping CGT.

Big-Finding2976

People should appreciate that they pay far less CGT in the US than many other countries. In the UK it's 18% on about the first £35k of gains per year, then 24% on the rest. No long term rate that reduces that.

lilcokebrat

Capital gains tax (CGT) is separate to income tax. Tax brackets do not apply. You pay 25% whether you made $10k or $10mil

Ninjabredmann

If you want to try break down peoples comments then 25% is also wrong since it’s based on individual total incomes I did not say how much tax you’d pay i said there will be a tax on half of the gains (ie. CGT 50%) Which still sucks compared to Germany that has tax on none of it per parent comment

lilcokebrat

Bro, still wrong. Australia has 50% reduction in CGT tax for assets you've held for over a year. So, taxes after a year are 25%.

phaattiee

Not my first rodeo… only have this cycles DCA on exchange, I take profits every cycle and move the remaining leftovers into cold. There is no reliable way to convert that to cash without breaking the law and I ain’t about that life… I pay my taxes if I have to… or just don’t sell unless I need the money for something like home improvements etc…  Last cycle the laws were very different, they’ve been cracking down on CGT in the uk specifically as an anti crypto counter measure… it used to be like 5% CGT and much higher tax free allowances… now it’s 18% and 3k tax free in the space of a couple years…. 

krimed

Last run I bought 20k for my Dad at the March 2020 when the market was bottoming and turned a healthy 225k profit on Alts. ATM the market is higher, so it’ll be harder to make the average 10-15x gain I did, but there is definitely money to be made. Just think of your CGT implications as you probably won’t be holding for over a year if you’re after gains in this run.