A Deeper Look into the Law: Blockchain – Taxation of Cryptocurrencies

Cryptocurrencies such as Bitcoin, Ether, Litecoin etc. are increasingly influencing business models of companies. Bitcoin Miners Hasrate is well equipped with materials that will further develpe your understanding of the Cryptocurrency legal frame work.  These companies also have to deal with taxation. Here you will find an overview of the tax treatment of virtual currencies and tokens. We present the most important points to you.

News: Capital gains on cryptocurrencies are taxable

In a recent judgment of February 14, 2023 (Az: IX R 3/22), the Federal Fiscal Court (BFH) decided that capital gains that a taxpayer could generate within one year from the sale or exchange of virtual currencies (currency tokens, payment tokens) achieved are subject to taxation as a private sale transaction .

In the present case, the taxpayer (plaintiff) had bought, exchanged and resold various cryptocurrencies. In detail, these were transactions with Bitcoins, Ethereum and Monero, which the taxpayer carried out privately. In the year of the dispute, 2017, he made a profit totaling 3.4 million euros. The tax office had subjected the profit from the sale and exchange of cryptocurrencies to income tax.

The BFH has now confirmed this: cryptocurrencies are so-called “other” assets that are subject to taxation as a private sales transaction if they are purchased and sold within one year.

Overview: what is it about?

The market for digital means of payment is growing strongly, albeit with sometimes large fluctuations. Politicians and financial authorities have also taken a look at digital currencies.

Companies that use and work with cryptocurrencies must above all consider possible income tax and sales tax consequences.

The Federal Ministry of Finance (BMF) issued a statement on sales tax in 2018 (letter dated February 27, 2018). According to this – in line with the case law of the European Court of Justice – cryptocurrencies are equated with conventional means of payment for sales tax purposes, insofar as they serve purely as a means of payment.

The income tax classification, on the other hand, has so far been very controversial. In the first supreme court decision of February 14, 2023, the BFH clarified that profits from the sale of cryptocurrencies are taxable under certain conditions. On May 10, 2022, the Federal Ministry of Finance (BMF) published a final letter on the income tax treatment of virtual currencies and tokens. The opinion of the BMF on the income tax treatment of private assets (margin no. 53 et seq.) is now confirmed in this respect by the BFH decision of February 14, 2023.

What are digital or virtual currencies?

  • The financial administration describes digital or virtual currencies as digitally represented units of value of currencies that are not issued or guaranteed by any central bank or public body .
  • The denominations of virtual currencies can be accepted by natural or legal persons as a means of exchange , even without the legal status of a currency.
  • The most well-known virtual currencies include, for example, Bitcoin , Ether, Litecoin and Ripple.

What are tokens?

Tokens are digital units of value that can embody claims or rights. They can serve as payment for services provided in the network or be allocated centrally by a project initiator independently of the provision of computer power. When this happens for the first time, it is called an Initial Coin Offering. Some start-ups use this method to collect capital and thus finance themselves.

Blockchain

Blockchain is an important technology for digitizing the economy and society. It is at the heart of all cryptocurrencies.

  • A blockchain is a multi-participant database with no central control that uses distributed ledger technology .
  • It is designed so that the inventory is tamper-proof and immutable, only allowing additions.
  • In the context of a virtual currency, a blockchain is a decentralized database in which all confirmed transactions are recorded, comparable to a decentralized ledger.

Proof of Work (Mining)

Mining is a process in which computing power is made available for transaction processing (block creation) . Units of virtual currency are allocated to the successful miner who created the block. This process is referred to as mining, based on gold digging.

Wallet

The wallet (translated purse, wallet, purse) is an application for creating, managing and storing private and public keys. In order to carry out a transaction of units of a virtual currency, each user needs a wallet. As a rule, a separate wallet is required for each virtual currency, since the public keys depend on the underlying blockchain.

Initial Coin Offering (ICO)

The term Initial Coin Offering is based on the English term Initial Public Offering (IPO), i.e. IPO. While an IPO involves the sale of shares, an ICO involves issuing tokens in exchange for units of virtual or government currency. As with an IPO, capital is collected with an ICO.

Proof of Stake (Forging)

In contrast to mining, proof of stake is also referred to as forging or minting, i.e. forging or embossing, sometimes also

Work With The Best: Tips On Finding And Working With Great Lawyers

Do you need to work with a lawyer? There are a lot of different reasons you may need the help of a legal professional. No matter what your reason is, it is important that your lawyer does good work for you and makes the most of your time together. Keep reading to learn some tips you can use when you need someone in your corner.

A good tip if you’re looking to hire a lawyer is to make sure you pick the right one. Location can be a big factor when looking to hire a lawyer. If you’re going to being to court soon, it’s absolutely crucial that the lawyer you pick is in the area.

Legal proceedings can often be confusing and complicated when you lack a background in the law, so make sure to let your lawyer know when you are confused or if you a clearer idea of what to expect from your trial. He or she should return your calls in a timely manner.

Understand that your lawyer must keep all things confidential. This means that any business records, or sensitive information given to your lawyer, cannot be shared with any other third party.

A good tip if you’re looking to hire a lawyer is to try to find the right lawyer for the task you need. If you’re simply wanting to draw up a contract, hiring a big shot, corporate lawyer is probably overkill and is just going to cost you a lot more.

Try to match the firm that you choose with the seriousness of the situation that you are in. If you are in a serious bind, you will want to have a big firm by your side. If you are trying to beat a moving violation, you can get a lawyer that belongs to a smaller firm.

Keep a paper trail. Document all conversations and meetings with your lawyer. Take note of all questions asked, as well as their answers and record all arrangements and discussions of fees and charges. Lawyers are only human and make mistakes. Give yourself a layer of protection with excessive record keeping.

Make sure that you are one hundred percent comfortable before you sign any legal documentation hiring your lawyer. The last thing that you need if you are already in a bad situation is to have to pay extra money to a lawyer that you do not want. Take precaution before signing on the dotted line.

Check the desk of the lawyer if you are going in for a consultation. Make sure that he is neat, well-organized and clean. Also, notice his speech when you have a conversation with him. These are very good indicators of how professional he is, and how well he will present your case in court.

Dealing with a lawyer can be stressful or it can be productive. Make your time with a lawyer time well spent. Use what you learned here and you will be on the right path when it comes to dealing with lawyers. A good lawyer is invaluable and that is what you need.…

Minimum Qualifications For A Lawyer To Represent You

When it comes to hiring a lawyer, cost can be a huge issue. Often times, people believe that the more a lawyer costs, the better he or she is equipped to handle your case. This simply isn’t true. Use the following article to help you find a reputable and hard working lawyer that won’t break the bank.

You need to know what your legal budget is before you hire a lawyer. You have to include in this the time spent away from work, if you don’t get paid for it, to ensure you have enough to pay your bills. Include travel costs, phone bills and other expenses which might come along.

A good tip to keep in mind when hiring a lawyer is to be very wary of any lawyer who seems more interested in getting paid than winning your case. There are many unscrupulous lawyers out there who will try to get you to pay a contingency fee, or even get you to mortgage your house.

When you hire a lawyer for a lawsuit case, hire one that will take your case on a contingency fee. If a lawyer is not willing to take your case on contingency, consider looking for a different one. If a lawyer wants to charge your hourly for this type of case, then he thinks he cannot win.

Wait to sign a contract with an attorney until you feel the situation is right. Request an estimate from the attorney so that you know approximately how many hours he or she intends on putting into the case. If the lawyer refuses, move on. A range is acceptable, but it is not fair if you have no idea what you are getting into.

Know any fees and costs before signing anything. Remember, it’s your job to ask questions in regard to the costs. Ask every question you can think of, and look through every document you are given. Your lawyer is not responsible for you being quick on the draw when it comes to signing official paperwork.

Make sure you communicate well with your lawyer. If your case has certain deadlines, then you need to provide all that your lawyer needs. This will increase the chances of a positive outcome.

If you meet with a potential lawyer, and he or she states that they will absolutely win your case, thinking about looking elsewhere. There are no guarantees in life, no matter how clear cut a case seems. A good lawyer knows this, and as such, will not make promises they can’t keep.

A good tip to remember when working with a lawyer is to try and get as much done in possible in one meeting. You’re going to pay a lot more to schedule different meetings to discuss multiple things. Going over several topics in one meeting can save you a lot of money.

Finding a lawyer isn’t all that difficult. Finding a good lawyer who doesn’t cost an arm and a leg is a whole different ballgame. Make sure that you use the tips and tricks mentioned in the article above to help you with your search for a quality lawyer that doesn’t cost too much money.…

Essential Knowledge For Successful Personal Injury Cases

When it comes to the results of a personal injury lawsuit, there are many factors. You may lose due to a single misjudgment. This guide will give you all you need to know to win.

Try considering only experienced attorneys that focus on personal injury law. Since this type of a law is a niche, it is important to find an attorney that concentrates on personal injury instead of one that is trying to be a jack-of-all trades. You also want someone with several years of experience in the niche, not one that has to study up on it for your case.

Meet in person with multiple lawyers before selecting one to represent you. Some personal injury attorneys will offer a free first consultation. These free consultations can help you learn of expected costs, which will enables you to eliminate someone who has lots of fees or overcharges.

While it may sound expensive, investing in a “specialist” lawyer is your best bet when it comes to having a personal injury case come out in your favor. This means hiring someone who has a great deal of these type of cases under his belt along with many checks in the “win” column.

The biggest mistake you can make as a personal injury client is to select the first lawyer who you find. Don’t do this! Instead, check out multiple lawyers and firms to find out which have the best track record in the field. The time spent will be paid back in dollars at the end of the case.

Organize all your medical records in one handy spot. Ask your doctor to write a detailed report of your injuries, keep receipts from the bills you paid as well as your prescriptions and document any income loss. As well, keep all emails from your doctor that are related.

To determine whether a personal injury lawyer is right for you, make sure to ask who they usually represent in these types of cases. Do they tend to work with the person who has been hurt or do they normally represent insurance companies? Furthermore, finding out what their track record is (i.e., how many wins versus losses they have) is important.

During your first meeting with an attorney, don’t hesitate to ask as many questions as necessary. For example, ask questions on what you need to expect, the amount of time the process will take, potential surprise, etc. You may become more comfortable once you start asking questions.

Never hire a divorce lawyer to oversee your personal injury case. This may seem like common sense, but many people feel that the lawyer they’ve already dealt with is great, so why not get them to help? Instead, ask them for a referral for someone who specializes in this type of law.

Realizing what you should be doing is vital to your success. This will help you understand the process and keep your case active. Use the tips that fit your situation best. Handling the legal issues of a personal injury do not have to be overwhelming.…

Essential Knowledge For Successful Personal Injury Lawsuits

If you have been in an accident, you might want to seek the advice of a lawyer. Every day, more and more people file personal injury lawsuits. Learn more about them from this post. You’ll soon know if you’ve got a real case that’ll work in court. Perhaps there’s some money in your future.

Detail the injuries you suffered clearly. Be sure to note cuts, scrapes, bruises, broken bones and so on. In addition, if any bumps and bruises pop up in the future, write them down as well. Remember also to include mental problems that may emerge down the road, such as a fear of driving.

When working with an insurance company, always proceed with caution. You may have to come in contact with an insurer, so make sure to be on guard when this happens. The goal of an insurance company is to deal with a case as quickly as possible, for the least expense possible. Before you accept a settlement from them, talk to a lawyer to make sure you are getting what you deserve.

Be sure to ask your lawyer any question you can think of at your first meeting. Ask about what may surprise you, how long it’ll be, and what you should expect. For you to feel comfortable throughout the lawsuit, you should be able to ask anything and everything of your lawyer.

You must find a lawyer who has had plenty of personal injury law experience. There are lots of people who believe all lawyers are the same. Law is usually very complicated, and personal injury law is no exception. You want a professional who knows this area inside and out. Don’t let an inexperienced lawyer hurt your case’s chances.

Make sure you inform the appropriate authorities when you suffer from a personal injury. Be sure to tell your supervisor immediately if you are injured on the job. If there’s an injury due to car accident, call an ambulance and the police as soon as you can.

Don’t apologize following an accident. If you apologize, they could pin the blame on you. No matter what you think, don’t apologize.

If you are physically injured, take pictures before you receive treatment. This helps demonstrate the degree of the injuries and will only make your case stronger. Depending on your injuries, this could have an impact on the size and result of your case.

Shut up! Once you are hurt, try to say as little as possible. Tell the medical professionals you deal with about your pain, what happened (but not, “My idiot boss caused my injury!”) Be sure to answer all questions about your medical history. The less you divulge, the fewer things are going to be used to discredit you later on.

The money that you could win from a personal injury lawsuit can be used to pay your medical bills and make your life easier. It is your right to seek compensation from the person who is responsible for your injury. Use the advice you’ve learned to get the money you are owed.…

Find The Best Legal Assistance In Personal Injury

When you get hurt due to someone else’s negligence, it may be time to look at your legal options. The process can be confusing. This article will give you all of the information you will need to hire the best personal injury lawyer.

Be sure you clearly document your injuries in thorough detail after you have been hurt. Talk about everything from a bruise to a concussion. Emphasize every injury that you had to build credibility. Finally, you should include mental issues you have incurred as a result of your injury. For example, you may now be afraid to drive.

Look online for reputable personal injury attorneys. Doing so will ensure that you get the chance to interview many different lawyers, making it easier to find a good one. Look for people who have practiced for several years and who have won a number of cases.

You should find a good personal injury lawyer, meet with them and explore your different options. This will keep you out of court and get you money quickly.

Avoid flashy advertisements from lawyers as these are usually not the good ones. Splashy ads aside, it is hard to tell how good a lawyer could be for you, just from one tv ad. Always meet a lawyer face-to-face prior to making your final decision.

When working with an insurance company, always proceed with caution. You may have to come in contact with an insurer, so make sure to be on guard when this happens. They want to deal with you quickly and cheaply. You might want to talk to a lawyer prior to taking anything from any insurance agency.

Always keep doctor’s appointments and be sure they are documented when you have a personal injury suit pending. You should have proof that you are trying to treat your injuries. You don’t want to look like you’re manipulating the justice system.

If you need an attorney, you should establish a retainer agreement quickly. This is a financial agreement between you and the person you have hired. Set up a schedule for payment within the agreement and also note how to end the relationship if it does not seem to be working.

Do not apologize after you realize you are injured. If you say you are sorry, the other person will try to prove you are at fault. You shouldn’t do it even if you think you’re wrong.

You must be aware of the guilty party’s policies if you are attending to an injury claim by yourself. You might have claims against multiple policies. If you’ve requested and been denied information, you should get an affidavit to force them to turn everything over.

If you receive injuries in a car crash or while at work, get yourself a lawyer right away. You have to understand that acting in a timely fashion is very important, so do not wait around. An attorney can get to work and gain proper access to files immediately upon hiring.

As mentioned earlier, many people do not know how to hire a personal injury attorney. The fact of the matter is that the choice is not easy to make. The tips in this article can guide you in finding the best lawyer to present your personal injury case.…

Facing Legal Issues? Learn Great Tips Here

It can be extremely frustrating to locate and secure an excellent lawyer. Lawyers are plentiful, and unfortunately, not all are honest. Luckily, the following article has some great advice that will help make your search for a lawyer a whole lot easier.

You should never just choose the first attorney that you meet. Instead, research several attorneys to find the one best suited for your case. Therefore, make sure you ask other people and discover all you can on your potential lawyers.

Understand who your lawyer is before you hire him. Know his history. Just because the lawyer is allowed to practice does not mean that he is successful. Learn about their record so that you’re confident that they can accomplish the job properly.

Define your case before seeing a lawyer. Think carefully through the issue at hand. You are likely to require a lawyer when you have been criminally charged, have a lawsuit or are seeking a divorce. You could also need a lawyer to give you advice about a financial matter.

Your lawyer and you should think up a time that you can meet so you’re able to touch base. Often an attorney will not contact their client for a long time after being hired. Make sure you establish a schedule soon so that you can prevent these sorts of problems.

Although you should always be mindful of any advice provided by your lawyer, understand that this person works for you, not the other way around. When you’re not comfortable, say something. Your lawyer is supposed to keep your best interests at heart, but understand you are just one case among many cases to them.

When choosing an attorney, do all the research you can on their background. An inquiry into your state’s bar association and online reviews is a great way to see whether or not your lawyer has a built up a good reputation. You will save yourself a lot of money, aggravation and time, down the road.

When seeking a lawyer, look for one who specializes in the sort of case you present. There are so many different specialties out there. If you sort your possible lawyers by specialty, you can hone in on just the right ones to pursue.

You can use the Internet to find a lawyer in your area, but these lawyers aren’t screened. Background research will also be required before you hire any particular lawyer.

Good chemisry and communication with your attorney is critical to a great working relationship. If you don’t like your lawyer’s personality, it only makes things harder. Be sure you trust your gut feelings and try to get a lawyer that has a personality similar to yours.

Find a lawyer who genuinely cares about winning your case, even if money is their only motivation. Understand that your lawyer has dealt with numerous cases; therefore, they are aware of how to properly handle your case. They will do the best they can do.

Lawyers are the best remedy for legal problems. Choose your attorney wisely by implementing what you’ve just learned. Having the wrong attorney will only make matters worse, so you want to make the right choice.…