Israeli Tax Authorities Notify Cryptocurrency Owners to Disclose Their Holdings for Taxation Purposes | Taxes Bitcoin News
The revenue collector, the Israel Tax Authority (ITA) has reportedly sent notifications to dozens of Israelis who own digital currencies asking them to fully disclose their assets and be taxed accordingly. In addition to sending letters to local citizens, the tax body has also sent inquiries to cryptocurrency exchanges operating in Israel and those based outside the country.
Reports of the notifications and inquiries being sent by the revenue collector were preceded by Israeli media speculation that tax assessors across the country were exerting “pressure on the digital currency market.” However, as Globes is now reporting, the ITA wants to “obtain information about Israelis trading in these currencies.” Before sending notices and inquiries to crypto exchanges, the Israeli revenue collector had been receiving “data about the Europe-based funds and accounts held by Israelis.”
Israel receives this data in line with the “EU Common Reporting Standards (CRS) regulations for the automatic exchange of financial account information.” Similarly, the Israeli tax collector is reported to have a different arrangement with its counterpart in the United States. The report explains:
Additional information comes through the FATCA agreement, which conveys the US Internal Revenue Service (IRS) data to Israel.
Meanwhile, the Globes report tries to tie the “renewed interest” in the taxation of cryptocurrencies “to the revival in digital currency, especially the leap in bitcoin, along with an intense need to fill state coffers.”
Still, prior to its latest interest in taxing cryptocurrency holders, the ITA had published its position on cryptocurrencies back in 2018. According to that published document, Israeli “investors in digital currencies are subject to a 25% capital gains tax, as long as their activity does not turn into a commercial enterprise.”
Nevertheless, in the event of this becoming a commercial activity, “proprietors will be charged a two-stage corporate tax, or a marginal tax according to the individual tax brackets.” In the meantime, according to the Globes report, the Israel Tax Authority’s letters to Israeli crypto holders are intended to encourage them voluntarily “report their income before the tax authority gets to them.”
What are your thoughts on the tax letters sent to crypto holders by tax authorities in Israel? You can share your views in the comments section.
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Coinbase and OKCoin to suspend XRP trading soon
Coinbase and OKCoin have announced plans to suspend XRP trading on their platforms following the Securities and Exchange Commission (SEC) suit against Ripple
Coinbase and OKCoin have become the latest cryptocurrency exchanges to announce plans to delist XRP from their trading platforms due to the SEC’s lawsuit against Ripple. The SEC is suing Ripple and some of its executives, claiming that the cryptocurrency is a security under US laws.
Coinbase made its position known in a blog post yesterday. According to the blog post, XRP trading on Coinbase trading platforms will no longer be available starting 19 January 2021. Paul Grewal, Chief Legal Officer at Coinbase, wrote that “In light of the SEC’s lawsuit against Ripple Labs, we have made the decision to suspend the XRP trading pairs on our platform”.
The US-based cryptocurrency exchange started limiting XRP trading on its platforms yesterday. Coinbase added that the trading suspension wouldn’t affect customers’ access to XRP wallets and the cryptocurrency will be available for deposit and withdrawal even after the trading suspension.
Coinbase informed its users that they remain eligible for the previously announced Spark airdrop. The cryptocurrency exchange will also continue to support XRP on Coinbase Wallet and Coinbase Custody.
OKCoin has also announced its planned suspension of XRP trading. The exchange said yesterday that it would suspend XRP trading and deposits on its platform effective on 4 January 2021.
The cryptocurrency exchange wants all users who borrowed from the XRP/USD margin pair to return the funds on 3 January. “7:00 PM PST, 4 January 2021: spot trading, margin trading, and deposits will be suspended till further notice”, the exchange added.
OKCoin believes the situation would take time to resolve. As such, it plans on keeping its users informed regarding any changes in its position.
Coinbase and OKCoin join a host of other cryptocurrency exchanges that are suspending XRP trading on their platforms. Bitstamp announced on Friday that it would be halting XRP trading on its platform on 8 January 2021.
XRP was the third-largest cryptocurrency in terms of market cap a few days ago. However, the SEC filing a suit against Ripple has seen the cryptocurrency lose more than 50% of its value within a few days. XRP has since lost its third spot to Tether (USDT) and could drop below Litecoin (LTC) and Bitcoin Cash (BCH) if the delisting trend continues.
The post Coinbase and OKCoin to suspend XRP trading soon appeared first on BTC Ethereum Crypto Currency Blog.
Author: By TeamMMG
OKCoin Cryptocurrency Exchange Stops Trading XRP
OKCoin, one of the well-known exchanges of the crypto money industry, has also joined the caravan of delisting XRP or stopping transactions. In the post published by OKCoin, it was stated that the case opened by the SEC on December 22 was closely monitored and XRP transactions would be suspended until it became clear.
January 3, 2021 06:00 CET: Users who borrow XRP or USD using the XRP / USD margin trading pair must return the funds before this date. Delays will trigger the liquidation process by the system and credit contracts will be terminated.
January 4, 2021 06:00 CET: spot and margin trading and XRP deposits will be suspended until a new announcement.
OKCoin emphasized that resolving such a situation would take time. In the meantime, OKCoin officials stated that they will continue to inform users and gave the message that this situation could continue for a long time. According to CoinMarketCap data, XRP’s place appears to be the ninth among the active markets of the OKCoin exchange. XRP / USD is in the 9th parity position with the highest volume in the light of the last 24 hours of data. However, the fact that this only achieved volume of $ 88,767 suggests that the OKCoin platform will not suffer a serious commercial loss by suspending XRP transactions.
Turkish crypto exchange THODEX now open to users worldwide
THODEX, a cryptocurrency exchange founded in 2017 based in Turkey and globalized under the license of FinCen MSB from the USA, is now open to users worldwide.
The exchange company, operating as a global brand with its FinCen MSB license from the USA, has begun to recruit users worldwide while accelerating its activities in many countries. THODEX, which when founded, was the first cryptocurrency exchange to have more than 5 cryptocurrencies on its exchange in Turkey. Further, THODEX established Turkey’s first Bitcoin ATM in Nişantaşı, one of the most central districts of Istanbul in 2018. Amidst the FinCen MSB license obtained in 2020, THODEX matured to become Turkey’s first licensed global cryptocurrency exchange.
With low commission rates, THODEX has introduced more than 20 different cryptocurrencies to its users. THODEX allows its users to control their investments with features such as stop-loss, price alarm, and a custom API. Users may purchase crypto with a credit card to get started. And the company also provides an affiliate program, enabling users to earn commission on each person invited.
Coinbase the Latest Exchange to Suspend XRP Trading
Coinbase is suspending trading for XRP on its exchanges.
The exchange’s Chief Legal Officer, Paul Grewal, announced the news in a blog post this evening. The message reads:
“In light of the SEC’s lawsuit against Ripple Labs, Inc, we have made the decision to suspend the XRP trading pairs on our platform.”
Trading of the asset will move to limit only with immediate effect, before being suspended fully on Jan. 19 at 13:00 Eastern Time. The exchange notes that customers will still be able to deposit and withdraw XRP to their Coinbase wallets, and eligible holders will still benefit from the recently announced Spark airdrop. The cryptocurrency is also going to stay listed on Coinbase Wallet and Coinbase Custody.
Nevertheless, it will doubtless be another hit for Ripple and its tokenholders. Coinbase is one of the world’s biggest cryptocurrency exchanges and one of the first places new investors go to buy crypto assets.
Coinbase isn’t the only exchange to make the decision to delist XRP. OKCoin, Bitstamp and Bitwise, among others, have all confirmed that they’ll soon halt XRP trading. The impact on XRP prices has been catastrophic, plummeting 55% in the last week.
On Dec. 22, the Securities Exchange Commission announced that it would be suing Ripple for selling unregistered securities. The SEC alleged that the company used an “information vacuum” to generate over $1.38 billion in profit. The case is still ongoing.
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