Lazy Llama
Suburban robots that monitor reality
<Three Bitcoin threads merged>
<Three Bitcoin threads merged>
I bought £500 quids worth in late November. I just withdrew £500 and left £500s worth in there.
Gambling is well easy.
coinfloorWho did you buy through?
Money laundering is where you obtain illegal income and then use a process to legitimise it.I'd like to understand something: The young man i know who got into this years ago has according to him now got a proper fortune in bitcoins, enough to buy a flat in London. But even if he were to sell them all convert into cash and try to buy a flat outright he'd have a big problem with money laundering regulations wouldn't he?
Yep I see, makes sense that it’d just be a tax issue and nothing to do with money laundering. This just somehow makes bitcoin seem more real than it ought to, if he really can buy something like a flat out of them.
He'd have a capital gains tax issue. That would be all.
It's a good point. If he can find somebody willing to accept bitcoin, he should be gravy.If he sells the bitcoin at a profit, yes. But what happens if he pays for the flat in bitcoin?
Is that allowed though, would it be like selling a flat for bars of gold or in exchange for some beads?It's a good point. If he can find somebody willing to accept bitcoin, he should be gravy.
You aren't allowed to make a capital gain without declaring it. He could possibly buy the flat for bitcoin but he would still get a tax bill for the capital gain.If he sells the bitcoin at a profit, yes. But what happens if he pays for the flat in bitcoin?
It would be exactly like doing just that. To be fair, though, I didn't know you couldn't sell a flat for bars of gold or some beads. Can you not?Is that allowed though, would it be like selling a flat for bars of gold or in exchange for some beads?
I don’t know! Would mess up zoopla.It would be exactly like doing just that. To be fair, though, I didn't know you couldn't sell a flat for bars of gold or some beads. Can you not?
You aren't allowed to make a capital gain without declaring it. He could possibly buy the flat for bitcoin but he would still get a tax bill for the capital gain.
If the initial investment in the bitcoin was say 5k and that bitcoin was swapped for a flat worth 500k then yes, to the tune of 495k.Is it a capital gain, though?
To be picky, HMRC could theoretically obtain stamp duty in the same exchange mechanism as the sale. If the price was 10kg of gold, they could demand 500g of gold in stamp duty. Although, saying that, they would need a way to work out what their thresholds for % rates are in gold.Any shenanigans around buying property through barter would be a problem for stamp duty. So there must be some mechanism for capturing the cash value of the barter price paid for property. You could argue that at the point when this mechanism applies, a capital gain liability is created. I'd argue that, if I was HMRC.
What if they bought the flat in USD? Would HMRC go back to see what the exchange rate was at the time the USD were obtained?If the initial investment in the bitcoin was say 5k and that bitcoin was swapped for a flat worth 500k then yes, to the tune of 495k.
If the initial investment in the bitcoin was say 5k and that bitcoin was swapped for a flat worth 500k then yes, to the tune of 495k.
I think it would be extremely difficult for HMRC to work out capital gains in this scenario (bitcoins held for years then sold at profit) because of the anonymity especially in the early days of it.
Yes, thought so. With property its all very open but capital gains tax is confusing i think. Like what if the painting I bought for £2 at the car boot turns out to be a rare lost masterpiece do I pay the capital gains for the full difference between purchase and sale?The onus is on the taxpayer to disclose the gain, and then HMRC decide whether they accept the sums.
Yes, thought so. With property its all very open but capital gains tax is confusing i think. Like what if the painting I bought for £2 at the car boot turns out to be a rare lost masterpiece do I pay the capital gains for the full difference between purchase and sale?
Man selling home for $135,000 in Dogecoins - CNN... if he really can buy something like a flat out of them.
He better trust that person and be offering them a good cut!A colleague of mine spent some time and money mining Bitcoins a few years ago.
He transferred all his coins to a single wallet and then realised he didn't know the password.
Current value of those Bitcoins? More than £200,000. He's engaged someone who specialises in recovering the password in exchange for a percentage.
A colleague of mine spent some time and money mining Bitcoins a few years ago.
He transferred all his coins to a single wallet and then realised he didn't know the password.
Current value of those Bitcoins? More than £200,000. He's engaged someone who specialises in recovering the password in exchange for a percentage.