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

Get A Personal Injury Attorney With These Tips

When you are injured under circumstances that should be taken to court, then you need to be fully prepared in order to make your case. The earlier you get in touch with a personal injury lawyer the better. Make the time now, and review the following tips for your benefit.

If you don’t want to splash out on lawyer’s fees, and you can easily prove the other person was at fault, see if you can work out an out-of-court settlement with them. Their insurance company will be happy to do this as they’re in no hurry to go to court, so you’ll end up on top.

Do not just take a personal injury lawyer’s word for it when it comes to their record. Talk to some of their clients, and ask the lawyer for a written record of their practice. This will give you a good idea as to how often this lawyer wins and what type of money he is used to dealing with.

When choosing a personal injury lawyer, pay special attention to the size of their firm. Generally, larger firms mean that more than one lawyer may work on your case. These are usually Associate Attorneys who are trying to gain some legal experience, while having a senior attorney oversee and make the final decisions. Smaller firms can usually provide better management by having fewer people working on a case. Feel free to ask if other attorneys will be working on your case in any firm you’re interested in.

Check to see the size of the firm before you make your decision. If you have a big lawsuit, you need a big firm to support you. But, if your matter requires more personal attention, a smaller, more affordable firm may be a better choice.

It is possible to locate a personal injury attorney online, but don’t forget to check with people that you know, either. You may be surprised at the number of people who have had to deal with a similar situation before. Ask for their recommendations or find out if they had a negative experience with anyone in your area.

There is no rush, so slow down when seeking out a personal injury attorney. Take your time and check out all of your options. Do your research for each both in person and online. The more time you take to select the best lawyer, the more likely you are to truly get the best.

Personal injury lawyers tend to specialize in a number of different fields. For example, one may solely take on medical malpractice cases, whereas another may be proficient in automotive accidents. Don’t assume that all personal injury lawyers are the same and be sure to make inquiries about any lawyer you have under consideration.

Now you are ready to make that phone call. Of course, you need to use the tips you have learned to help you find the right personal injury lawyer. It is time to get your case moving, as every day really counts, and you need to be fully prepared once it goes to court.…

Protect Yourself From Personal Injury Issues With Expert Advice

A personal injury isn’t a laughing matter, but it isn’t any reason to sound the alarms either. You can slowly proceed and come away from the experience with something positive to show for it. Personal injury lawyers are here to help you win this battle. Use these paragraphs to gauge each potential relationship.

If you believe you may have grounds for a personal injury case, see a physician immediately. It’s important that your information be documented as soon as possible. It will be used as valuable evidence later, but by the time you have your day in court, the injuries may have healed and you will have no proof of them.

With regards to hiring a personal injury attorney, you must meet with multiple lawyers prior to selecting one. Most lawyers will meet with you for free so you can present your situation. Use the initial consultation to learn all about the attorney’s fees.

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.

Ask your friends and family for personal injury lawyer referrals. There are countless personal injury lawyers out there, due to the large amount of money that they can make, but that does not mean that they are all good. If you do not already have a lawyer in mind you should seek the help of those that you know and trust.

If you are injured in an accident do not assume that your worries will end right away. Many people find that they are in more pain weeks later than they were at first, leaving them unable to work and take care of their families. If you are injured, and it is someone else’s fault, but careful to not settle before you know what the full extent of your injuries will be.

If you have to travel to meet your lawyer, you’ll be paying a ton in gas bills and taking too much time out of your day. Choosing someone local is a solution to these problems, plus you’ll know for sure they understand local laws and will be able to attend your court dates.

When pursuing your personal injury matter, it is necessary to attend every doctor’s appointment and get full documentation of each. You can tip the scales in your favor by keeping detailed records of your experience and proof that you are justified in filing a claim. Otherwise, you run the risk of appearing noncommittal or dishonest.

This article has hopefully provided some advice that you find useful during your hard times. A personal injury doesn’t need any more stress added to the equation which is why a smooth selection process was the intended goal for the paragraphs above. This little bit of help makes a great deal of difference.…

Essential Tips To Know Before You Hire A Lawyer

You want the best lawyer. Many people think that a great lawyer means having to spend a lot of money. It might be true in the most egregious cases, but the reality is that it is possible to find a good lawyer even if you are not made of money. This article will help you find the perfect attorney for your needs.

Always get a lawyer’s history prior to signing up with their practice. A licensed lawyer does not guarantee that he or she is a good one. Once you know his track record, you’ll be able to make a smart hiring decision.

Inquire about the fees that you are going to have to pay. You will see that the more experience a lawyer has, the higher you will have to pay. It is best to know the amount an attorney will cost before hiring his or her services. After the proceedings have begun, you don’t want to lose your lawyer.

When dealing with real estate issues like buying or selling a house or being sued about the place sold or bought, obtain a type of real estate lawyer. These types of lawyers are trained to handle your situation, which will help ensure that your case is properly dealt with. This will significantly increase the odds that the outcome will be in your favor.

You may not know that you are entitled to have everything you’ve shared with a lawyer to be kept confidential. For example, a lawyer cannot discuss key business issues involved in a case with your competition.

You don’t just want to choose the first lawyer you find. If you want the best lawyer, you need to do your research. Make sure to thoroughly research your options before choosing a lawyer. Therefore, you need to be cautious.

If you are not completely comfortable with your attorney, keep looking. This also includes how comfortable you feel with their fees. Do not sign an unlimited retainer. Ask for an estimate up front so that you can control the cost before it spirals out of control during your case.

It can be helpful to ask another business for a lawyer referral. They may be able to share the name of a great attorney they had success with in the past. If your case involves small business law, then get in touch with a banker, account, real estate broker, etc. They will surely be able to tell you about a good lawyer.

You want a lawyer experienced in the cases just like your own. Check your potential lawyer’s history. There is no guarantee that your lawyer will be able to make all of your problems disappear. If you’re unable to quickly find the information you need online, ask the lawyer himself for it.

You should be able to find a reliable lawyer even if you do not have a lot of money to spend. Everything you learned from this article should serve you well as you prepare to make your case. Your bank account will reflect your efforts.…

Fantastic Advice If You’re Dealing With A Personal Injury

Within civil law, personal injury cases are important. These cases are popping up constantly, meaning lawyers are the crux of the outcome. A bad lawyer will give you bad results and finding a lawyer that is good is not very easy. The techniques and solutions are discussed below.

You need to provide your attorney with a detailed account of all the injuries that you sustained. Go over everything that happened to you, whether you broke an arm or just got a cut. Remember to take note of any bruises, bumps and other symptoms that may appear as time passes. Keep your mental health into consideration, such as the ability to perform activities.

When you get ready for your case, you need to add to your notes information about lost income. This means any lost wages due to being absent from work due to your injuries. If you were not able to attend your classes, you may be able to get a settlement to make up for that loss.

When looking for an injury attorney, review online resources. Don’t just call the person that is screaming at you from the television commercial. Making your attorney selection with this method is not a good idea. Instead, you should check out real-life experiences of an attorney to determine whether or not they would be a good fit for you.

American Bar Association resources offer help with finding a great injury lawyer. Not only can they provide recommendations based on the area you are located in, but you can also check any lawyer’s records to ensure there are no negative complaints or proceedings against them on file.

Retain copies of any medical paperwork in a notebook or file folder to better prepare for your personal injury case. 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.

Paying a lawyer is investing in your case, so make sure you are treated respectfully, as an investor should be. If your attorney does not treat you with respect or refuses to take the time to answer your questions, consider hiring a new attorney. In addition, if you repeatedly are unable to get in touch with your lawyer, it might be time to start looking for another.

Keep good documentation of all your doctor and hospital visits. Good paperwork is important when you are pursuing an injury case. A win starts with the right evidence, so prove your injury and that you sought treatment. You may look like a liar if you don’t.

Now that you have the knowledge on how to find the right attorney for your personal injury claim, you can hire one and then start concentrating on getting well. Hopefully this article has helped you find a few really great personal injury lawyers in your area. That group includes the lawyer you’ll choose, who is ready to get involved!…

Find The Lawyer You Need Today With These Tips

Are you looking for a great lawyer to win your case for you? You may not know what steps to take to get started. Read on to learn more that will help you in selecting a lawyer.

You should never hire the first lawyer you come across. Be sure to research thoroughly, because lots can be at stake. Speak to others and see what you can figure out about lawyers that interest you.

Try getting a lawyer with a retainer so you will be prepared for any type of legal issues. By doing this, you won’t be quite as stressed. Instead, you can take time to find the best lawyer for you. If you have an attorney on retainer, you’ll have someone to turn to for expert advice.

Make sure you identify your problems and concerns before looking for a lawyer. First, you should think about whether you really need a lawyer. If you have a lawsuit already on the books, need to get a divorce or have been accused of something criminal, you will need legal representation. You may also need an attorney’s expert opinion for a financial or business matter.

If you have to deal with a real estate matter like buying or selling a home or a dispute about property you own or previously owned, get a good real estate lawyer on your side. This will help ensure that you get a favorable ruling each and every time.

Lawyers are advocates for their clients. A lawyer may not say what you want to hear; however, they work for you and want a positive outcome to your case. Do not hesitate to speak up if you are not comfortable with something your lawyer says. A good lawyer should put your interests first, but understand that your lawyer likely has many other cases in addition to yours.

Be sure to quiz each lawyer thoroughly. When you’re in your initial consultation, a lawyer should be able to answer all your questions, whether they’re big or small. The lawyer must make certain you feel confident and comfortable in terms of the experience and knowledge the lawyer displays. If they are unwilling to do that, just walk away because they are wrong for you.

Make sure that you feel comfortable in every way about the lawyer that you chose. The best lawyers are smart, knowledgeable and personable. Get a new lawyer if the one you are now using doesn’t do this.

See if you can do anything to lessen the attorney costs. For instance, you might can prepare some paperwork. You may also be able to run documents to and from the courthouse when needed to cut down on expenses.

You now have the knowledge to go out and find the right lawyer for you. These tips are sure to aid you along the way and can ensure that your case has the best possible outcome. Whatever the details of your case, the lawyer you choose is just as important as the case itself.…

Expert Advice On Your Personal Injury Claim

Have you been hurt in an accident? You are probably wondering about the type of information you need to prove yourself. To find out more about the process, continue to read the tips below.

Take a look at online reviews when you are searching for a personal injury attorney. Don’t just call the person that is screaming at you from the television commercial. This is never your best option, and you’d be much better served looking for lawyers with lots of experience dealing with your particular situation.

Keep copies of the medical documentation arising from your injury. From prescription receipts to doctor’s diagnoses, keep it all together. Keep copies of emails too.

Have all your paperwork present when you have a consultation with an attorney. Pertinent paperwork includes medical expenses and how much time you have missed from work. Also, take any photos you have of your accident. The lawyer will be able to see what the case looks like.

Have you had your back injured in an accident that was not your fault? Reduce the pain by using a warm compress on the affected area. Staying in one place is important, as your body needs time to heal, and doing otherwise will only make it worse. Be careful of what you take when resting and keep receipts, notes, and instructions for your case.

Before selecting a personal injury lawyer, ask them whether or not they have dealt with similar cases as yours. This will help you gauge how the attorney will do specifically with your case. If a lawyer has extensive experience dealing with your type of personal injury case, then this lawyer is the better choice over another who has less experience.

Make sure you are prepared prior to speaking with any personal injury lawyer. It is particularly important if you are hiring a lawyer who will be working with a contingency fee. The lawyer only may choose your case if the case is greatly in your favor, so they might not work with you if you don’t present it well. Keep all of your paperwork as organized as possible, so it is easily accessible.

If there are physical signs of injury, document your injuries with photos, before you receive any treatment. Photo evidence will substantiate your claim and provide proof of your injuries. Your compensation can be significantly influenced by how severe your injuries are.

You need to be checked out by a doctor immediately after an injury. This will help you document the time you were hurt, the extent of your injuries and the diagnosis. Possessing such documents is critical to the fate of your case.

Pain is something that is sometimes easy to figure out. Take things easy and get plenty of rest until your personal injury is gone. However, you shouldn’t allow this to scare you, as long as you don’t have intense pain that doesn’t disappear after a few days.

It’s normal for you to try to do all you can to ensure you clearly and accurately convey your injury and the way it happened. Use the tips from this article to help ensure you have done everything in your power to win your lawsuit. Ask your lawyer how to make your case stronger.…