Gooey Looey wrote: » That's exactly what we al are trying to figure! You could be liable to capital gains tax on any profit you turn back into cash. I don't know too many that have an exit strategy.
baalad wrote: » But with all due respect. Should that not be the first thing people figure out? I read a story of a guy that invested. I cannot recall the figures but something along the lines of he invested 100,000 and doubled his money. He decided to exit but nobody would pay the value of 200,000 so he ended up selling his portfolio for 150,000 despite the value being 200,000 and then if you factor in tax and fees etc he arguably made 100,000 and lost the best part of it while exiting. Plus i struggle to understand why anyone would buy someones crypto when its at an all time high. Let's say you buy 1 BTC at a cost of 25,000 and this time 2 years its at 250,000. You're going to be rubbing your hands together but who in their right mind is going to pay 250,000 for 1BTC unless its expected to continue to grow to double that figure. In which case you would likely be tempted to hold and then face the same problem but at a later date! There is countless success stories online in relation to crypto but the majority involves increased value as oppose to actual exiting with cash in hand! Exiting seems to be where the big problem is with crypto. If your lucky enough to make money then your likely to lose most of it while exiting unless your gains are so huge you can sell at a reduced rate or afford to pay fees, tax etc and still make a substantial gain but this would not be the case for the majority of investors! Sorry for the negativity but im trying to be real here haha
Gooey Looey wrote: » If you have crypto you can cash out on any exchange get today's exchange rate. They're being bought and sold every day of the week. That's not the issue, the issue is cashing out without paying one third of it on capital gains tax.
baalad wrote: » But you would stand to make more from selling your stake to a private buyer as oppose to an exchange. Exchange being safer though i guess. But yeah how on earth do you make a profit if you pay capital gains tax. You would need to make huge money for it to be worth your while exiting surely.
Gooey Looey wrote: » Cheeses Christ no! Private buyer? That just sinks of scam! No way is trust anyone in today's world. I plan to just spend mine!
baalad wrote: » Inclined to agree but most investors that exited successfully sold there stake privately i believe. Such a volatile market. Hard to know when to get out and when to hold. If the value is going up do you exit or take a chance and hope it continues to go up? You know what they say. What goes up must come down. I find the whole thing fascinating but soooo risky hence why i will only invest a few hundred max until i learn more and more and get to grips with every little detail there is to know.
baalad wrote: » But you would stand to make more from selling your stake to a private buyer as oppose to an exchange. Exchange being safer though i guess.
baalad wrote: » Another clueless question from me but how is CGT calculated? I understand you get taxed on the profit you made but how do they know how much you invested in order to calculate your profit? especially if you invest in small fractions. I would be grateful if someone would give me a little lesson in how revenue calculates CGT as i assume i cannot invest 10,000 and make 30,000 and then be like "what you talking about, i only made 1,000 profit" lol How do revenue know what you invested and how much you profited etc Sorry if its a dumb question but i always told "if you don't ask, you don't learn"
Lex Luthor wrote: » same can be said for someone who bought at 2.5k Why would anyone buy at 25k? Its happening if the price reaches 250k then someone is buying why do you think you lose most of it exiting? eg buy at 25k, sell at 50k. 25k gross profit lets say worst case €50 in fees cashing out you pay CGT on 24,950 less 1270 @ 33% this is approx 7.8k Nett approx profit = 17k approx I stand to be corrected on this
baalad wrote: » Am i right in saying you only pay it on any gains above 1270? If i invested 1000 and that 1000 turned into 2270 over night and i cashed out. I would not pay CGT , is that correct?
grindle wrote: » Yes. But if you're getting into crypto and planning on only making 1270 profit in 2021... Oh, sweet summer child. Good luck.
baalad wrote: » Hahaha as long as 2021 is an improvement over 2020 then iam happy
Lambasted wrote: » has anyone bought KIN? i cant find it on any of the main exchanges to buy?
hurikane wrote: » $COVAL
hurikane wrote: » +700%
Daithi40 wrote: » Nice if you bought it at the price in Dec 2020, you'd still be waiting if you had bought at ATH, and prob for quite a while but if you got it at that price, tidy profits
