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The Ministry of Finance of the Russian Federation requires to document the purchase price of the cryptocurrency

The Ministry of Finance of the Russian Federation and Federal tax service (FNS) once again explained the procedure of payment of taxes on profits from cryptocurrency transactions. It added one important caveat, without respect for which the tax will be calculated from the price of the asset rather than profits from operations.

In a document sent to the Ministry of Finance of the Russian Federation in FNS States that a special procedure for the taxation of cryptocurrency transactions, the legislation does not set. However, this does not exempt citizens from paying tax.

According to the official explanation, the citizens of Russia must pay personal income tax (tax on income) on the profit obtained from the sale of cryptocurrency. Profit in this case is the difference between the purchase price of the digital asset and the sale price. The purchase price must be documented, otherwise the tax will be calculated on the full value of the assets. What kind of documentary evidence of the acquisition cost of assets must tax, the document is not specified.

The cryptocurrency is not subject to tax deductions. If the law provides an exemption from tax when selling a property owned by natural person for more than three years, then to digital assets is not the case. This is due to the fact that cristobalite still have no legal status in Russia, therefore they cannot be classified as property.


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