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Taxes
Taxes
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Crypto Tax Question

I'm wondering if anyone knows the tax rules on the following scenario:

I have the following two seperate Crypto accounts:

Account A: I hold a large position of Bitcoin in cold storage that I keep dollar cost averaging into each month with fiat and HODL and don't plan on selling. 

Account B: I actively day-trade a smaller position in BTC with shitcoins to increase my BTC amount. 

Does the "first in, first out" tax rule apply to the holdings in Account A as I am actively trading in Account B? 

Essentially, I want to know which outcome applies:

A) Account A can grow annually tax free (as long as I don't sell) and then I only pay capital gains each year in the active trading Account B. 

B) Or would each purchase and sell in Account B some how get tied to Account A for tax purposes?

FYI I'm in Canada but I'd be happy to hear US rules as well. 

John Doe
Legendary Punk-Rock Musician

I'd guess you should pay taxes. In general taxes are paid or any income I don't see any reason why DeFi should be exempt.

Sam ColtExChangemaker
"So called Business Engineer"

Evolution of TAXES in the US per income bracket

American's unlike Italians, really do pay their taxes. But me being non American have no idea how the US taxmachine works except that it's a big complicated topic and nobody in Murica seems happy about it. While I am reading this I think this data is already worth sharing. 

 https://www.ntu.org/library/doclib/2020/12/2018-who-pays-1-.pdf

You got to look at this from bottom to top. 
You got to look at this from bottom to top. 

 

 

Tax changing crypto on Dexs

Anyone help me with understanding tax when it comes to something like uniswap or 1inch. I want to use synthetix but worried that I'm going to get slammed with taxes changing from Eth to sUSD etc.... Anyone can shed any light on it would be great thanks.