Cryptocurrency

Uk updated guide to the collection of tax transactions with cryptocurrencies | Breaking News

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The guide is an extension of a paper published in 2018 by the tax authority british.The document, issued by the tax office of United Kingdom, does not recognize Bitcoin as dineroLa office in charge of the collection of taxes in the United Kingdom, Revenues and Customs of Her Majesty, or HMRC (Her Majesty’s Revenue and Customs), issued an update of its guide tax cryptocurrencies. The document, published Friday, November 1, expands details of the previous version, published by the tax authority british in December of 2018.The new guidelines define the classification of tokens based on the concepts of the tax office of United Kingdom, and to set the tax regime for companies and individuals that conduct transactions with cryptocurrencies. However, HMRC makes it clear that the tax legislation does not imply a recognition of bitcoin and other cryptocurrencies as currency or money.The tax agency identifies three types of criptoactivos, among which points to the tokens of exchange, the tokens of utility and token values. The first category refers to the cryptocurrencies as bitcoin and other that are used as a method of payment, medium of exchange or investment.The guide refers specifically to the liens attributable to the tokens of exchange, but does not rule out that later be necessary to expand the guidelines to other types of criptoactivos.In this sense, HMRC established that will be pechadas activities such as the purchase and sale of cryptocurrencies (such as bitcoin), and exchange them for other assets (including other types of tokens), the mining cryptocurrencies, and the payment for goods or services with criptoactivos. In the case of companies, also apply liens to investments, trading activities, or trade and airdrops.According to the document, at least six types of taxes could apply to this type of transaction, including the payment on the capital gains and income tax. However, HMRC explained that the amount of tax shall take into account the type of business and profits involved.It should be recalled that in August of 2019 Breaking News reported that HMRC was pushing to the houses of change of the cryptocurrencies in the Uk to reveal the names of customers and records of transactions. This action was oriented to recover the taxes not paid, they said at that time sources of the industry.Previously, in the month of January of this year, the Authority to Conduct Financial (FCA) in the Uk carried out a public consultation on the regulation of the ecosystem of the cryptocurrencies in that country. In the draft are set for the first time the distinction between the three types of tokens mentioned earlier. In addition, the FCA also recognizes bitcoin and other cryptocurrencies as money, so that this institution is not considered to be within their powers.Latin american countries such as Argentina, Brazil and Chile, have already implemented similar mechanisms to tax the users and companies that operate with cryptocurrencies. In the case of Spain, the tax regime on this type of transaction might include until the payment of Value Added Tax (VAT), according to experts.