Cryptocurrency

[RedHand88]

How would Paschal Donohoe find out that I've made a profit on bitcoin?
Sorry if that's a silly question.

I got a letter from HMRC today saying they know I have been buying crypto and to declare it in self assessment if my profit is over 12k (spoiler: it isn't). Goes to show you they aren't so slow.

[yellowcard]

How would Paschal Donohoe find out that I've made a profit on bitcoin?
Sorry if that's a silly question.

Presumably you would have had to supply the crypto platform that you use with your tax number to begin with. I would imagine those crypto platforms would be under a lot of scrutiny from tax authorities since some of the gains and resultant tax liabilities could be lucrative for them.

[RadioGAAGAA]

How would Paschal Donohoe find out that I've made a profit on bitcoin?
Sorry if that's a silly question.

I got a letter from HMRC today saying they know I have been buying crypto and to declare it in self assessment if my profit is over 12k (spoiler: it isn't). Goes to show you they aren't so slow.

and they have no visibility of what your profit might be until you bring it back into FIAT.

[Mikhail Prokhorov]

can the taxman inspect cold wallets 

which is probably where you should be keeping it if you have any sense

[Methuselah]

can the taxman inspect cold wallets 

which is probably where you should be keeping it if you have any sense

Cold wallets only serve to hold your private keys as such, although more secure, you are no less visible as a holder. KYC from your centralised exchange can be used to track you at the fiat on-ramp stage onwards, and on-chain analysis is pretty routine at this stage to track holders. One of the arguments for bitcoin is its transparency of ledger. There are ways to 'wash' crypto out there but a simple fiat to btc to fiat path can be tracked regardless of wallet type. Btc bought p2p or with a proxy buyer, or privacy coins such as monero are the route some may turn to for evasion

[APM]

can the taxman inspect cold wallets 

which is probably where you should be keeping it if you have any sense

Cold wallets only serve to hold your private keys as such, although more secure, you are no less visible as a holder. KYC from your centralised exchange can be used to track you at the fiat on-ramp stage onwards, and on-chain analysis is pretty routine at this stage to track holders. One of the arguments for bitcoin is its transparency of ledger. There are ways to 'wash' crypto out there but a simple fiat to btc to fiat path can be tracked regardless of wallet type. Btc bought p2p or with a proxy buyer, or privacy coins such as monero are the route some may turn to for evasion

That's an important point.  Some of the questions / comments here are effectively about tax evasion, dressed up as a harmless game of cat and mouse.   

[Geoff Tipps]

Do people who dabble in Bitcoin ever use them to buy anything? Or do they just accumulate them to speculate on the price?

Buying anything with them results in a CGT gain (if the price increased since you bought)

Not sure what the poster means here exactly but to me this comment is more than a little misleading

The minute you liquidise Crypto into cash (or any other asset cars houses, stock & shares, food phone etc) you are liable for capital gains.
If you bought BITCOIN low and sell high good luck to you but you are liable for the gains you have made

BITCOIN IS NOT CASH!
Don't think of it as such, revenue services around the world have struggled to keep abreast of the exchanges but they will catch up with it sooner rather than later, Ignorance holds no sway...... so know the facts!

Just to be clear any trade will trigger CGT, not just crypto to fiat currency.

[Dougal Maguire]

Anyone know anything about Nutmeg?

[tiempo]

Anyone know anything about Nutmeg?

Add a dash to your mash, you'll never go back.

[screenexile]

Anyone know anything about Nutmeg?

I set up a Lifetime ISA with them last year they seem to be grand although I don't follow it too closely.

[LeoMc]

Anyone know anything about Nutmeg?

Add a dash to your mash, you'll never go back.

Put it in your porridge. Your Mrs will thank me.

[Windmill abu]

Anyone know anything about Nutmeg?

Add a dash to your mash, you'll never go back.

Put it in your porridge. Your Mrs will thank me.

Does it make you chase after some young thing and leave the Mrs alone?

[LeoMc]

Anyone know anything about Nutmeg?

Add a dash to your mash, you'll never go back.

Put it in your porridge. Your Mrs will thank me.

Does it make you chase after some young thing and leave the Mrs alone?

Naw, it cures wind.

[Franko]

https://twitter.com/davetroy/status/1478017698676228099?s=21

Interesting read

[JPGJOHNNYG]

Bad 24hrs for crypto