Reports suggest that more Russians are declaring their cryptocurrencies holdings due to increased attention from the Russian Federal Tax Service.
According to a news report by Izvestia, consulting and legal firms like KPMG, PwC, FTL Advisers, Borenius, are experiencing a spike in the number of Russians willing to disclose their crypto income and pay taxes from crypto-related trades and activities.
Speaking on this, a partner of FTL Advisers Maria Kukla said “We observe that Russian residents have begun to voluntarily reflect income from operations with digital assets mainly with cryptocurrency in tax returns.”
Kukla added that considering the tax filling expiration date of May 1, it is too early to say that most crypto investors have embraced the new policy.
She explained since the closing date can be extended, many investors are waiting for the last moment to disclose their crypto investment.
The current price of bitcoin is $57,471.01, increasing by 0.99% in the last 24 hours. Bitcoin’s current market cap of $1.07T and market volume of $54.22B. In the last 24 hours, bitcoin has dropped to $55,541.91 and experienced a 24 hours high of $57,692.84. Currently, 18,677,062.5 bitcoins are in circulation.
Stats and Image from Coin Desk
The Russian tax office told Izvestia that although the law on crypto filling has not been enforced officially, it was summed up in a letter by the Ministry of Finance dated May 17, 2018.
According to the letter, ” The tax base for transactions in the sale and purchase of cryptocurrencies is defined in rubles as the excess of the total amount of income received by the taxpayer in the tax period from the sale of the corresponding cryptocurrency over the total amount of documented expenses for its acquisition.”