M@tree2
CUD has me already.
Hey all, just a few questions on doing crypto the legal way, don't feel like starting out life with a tax dodger record...
Some basic facts about this question:
Student, unemployed and studying full time at an accredited tertiary institution.
The only income I receive is from an "allowance", not from any job or work.
Currently, for this year, I stand to make roughly R40k(net) from Crypto at current exchange rates, not including the costs of electricity.
Do I understand correctly that there is an annual exemption of R40000 from the Capital gains tax, or is crypto declared as an income?
This is where my understanding gets a bit hazy, as I do withdraw my crypto, but I only withdraw roughly R1000 a month to be placed into a savings account.
Now from what I understand or my lack thereof, is this withdrawal would be treated as an income stream, and thus be liable to the standard 18% income tax rate between R1 and R226000?
The other currency either gets traded into other tokens such as ETH and then held, would I incur taxation on the trade as well?
I apologize if this has been answered somewhere, just the guidelines aren't great on this...
Some advice would be appreciated
Thanks
Some basic facts about this question:
Student, unemployed and studying full time at an accredited tertiary institution.
The only income I receive is from an "allowance", not from any job or work.
Currently, for this year, I stand to make roughly R40k(net) from Crypto at current exchange rates, not including the costs of electricity.
Do I understand correctly that there is an annual exemption of R40000 from the Capital gains tax, or is crypto declared as an income?
This is where my understanding gets a bit hazy, as I do withdraw my crypto, but I only withdraw roughly R1000 a month to be placed into a savings account.
Now from what I understand or my lack thereof, is this withdrawal would be treated as an income stream, and thus be liable to the standard 18% income tax rate between R1 and R226000?
The other currency either gets traded into other tokens such as ETH and then held, would I incur taxation on the trade as well?
I apologize if this has been answered somewhere, just the guidelines aren't great on this...
Some advice would be appreciated
Thanks