Tax Advisory

Nobody agrees how our crypto income should be taxed.

The confusion is structural, not personal. Countries have classified digital assets differently: as property subject to capital gains, as a foreign currency, as a financial instrument, as inventory where trading is frequent enough to be a business, or as their own statutory category. The classification determines the rate, the moment of taxation, whether losses are usable, and whether a crypto-to-crypto trade is even a taxable event. Two countries applying entirely reasonable rules to the same wallet produce different numbers.

Residency compounds it. A trader who moves mid-year may face taxation of the same disposals in both countries, and some jurisdictions tax unrealised gains on departure. Staking, lending, airdrops, and mining are often taxed as income at receipt and again as a gain on disposal, on a cost basis nobody recorded at the time. For founders, tokens held by a company raise a separate question of where the asset is actually managed from.

Reporting has caught up. Exchanges now report under CRS and the OECD's crypto-asset reporting framework, and a home tax authority frequently holds exchange records before any return is filed, which is why the first sign of a problem is often an audit notice rather than a query.

How LTB Resolves It

LTB establishes the position that is actually defensible: which country has the taxing right for each period, how the activity is properly characterised there (investment or trade, personal or corporate) and what the cost basis and reporting record must show. Where transaction history is incomplete, reconstructing it is the first piece of work, because every later filing rests on it.

Returns, disclosures, and any voluntary correction are prepared and filed by the licensed tax professionals in LTB's network in the relevant jurisdiction. Where the sound answer is a change of residence or holding structure, LTB structures it with the exit and substance consequences quantified in advance, and coordinates the whole matter as a single engagement.

Questions

Frequently Asked

Only for gains that accrue after the move, and only where the previous residence was properly ended. Some countries also tax unrealised gains on departure, which is assessed before any move.

In most jurisdictions, yes. Each disposal is an event, even without fiat. That is why a complete transaction and cost-basis record matters more than the headline rate.

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