How crypto gains are taxed is very much different in different countries, as I am currently in 馃嚫馃嚜 Sweden right now I decided to look into their version of the IRS and see how crypto and the gains are taxed in Sweden.
I am using this as a background to figure out how to beat start my own business. I heard that in Switzerland, Crypto it鈥檚 not taxed at all. As well as 馃嚛馃嚜 Germany I heard. Although I have to verify this information. But as a EU citizen that opens up several doors for me to choose from. Since I am Swedish but can do buisness all over European Union.
So just how are cryptocurrency鈥榮 and bitcoin taxed in Sweden well I logged in to the Swedish version of the IRS and in Sweden which just didn鈥檛 have a framework or rules for how to tax cryptocurrency鈥榮 just like many countries didn鈥檛 have until cryptocurrency went on a parabolic or a bubble run in the late 2017 suddenly the world and the governments and IRS in every country got their eyes open to the possibilities of cryptocurrency鈥榮 and how value could be created from Main Street and pour into Wall Street instead of in all of history where it鈥檚 been created from the top down to the bottom, wall street and the people in charge and power have dictated what Main Street and regular people should find valuable. So I looked into cryptocurrency鈥檚 and how Swedish IRS sees it, crypto assets are part of an asset class that is not stocks or bonds but they are taxed just as stocks and bonds in a Sweden.
The country generally is very high taxes on almost everything but cryptocurrency鈥檚 are taxed in capital gains so you can buy cryptocurrency you can add to it have a grow and have it increase in value and you鈥檙e not taxed on it until you sell it which makes a difference what happens with the crypto that is loaned out ?
It says here that you are taxed on the gains you have a few loan out the cryptocurrency but if you鈥檙e using a Cryptocurrency platform like Blockify or Celsius which is basically that you鈥檙e holding it in their wallet and they are loaning it out and given your interest how does that work as far as taxes is another question I have is since Celsius our custodians of this what did make you my crypto but they鈥檙e based in United States but my crypto is based in European Union how much the taxes done paid out and since there鈥檚 no real capital gains is a very interesting questions as far as I know.
The rules are in Sweden that you should declare crypto when you
Sold it
Traded it for crypto or FIAT
Paid for something with crypto
Loaned it out
Or gambled with it
You are able to calculate your gains at 30% tax and can deduct losses up to 70%.
One exception to this is if you are using the Crypto as part of a business then depending on if you are exchanging Crypto it is considered as dividend income, but if you are using Crypto as something that is in storage as part of your business like say that if you were to be Blockify, it is considered income of business income just simple plus and minus.
Hope this helps.