Posted May 30, 2021 I wanted to know whether crypto mining is legal in canada or not and if i can exchange crypto to canadian dollars. Is it legal or do i have to pay tax or consult to tax agency . Link to comment Share on other sites More sharing options... Link to post Share on other sites More sharing options...
Posted May 30, 2021 Mining is not illegal and you report it on your income tax. CPU: AMD Ryzen 9 3950X Motherboard: MSI X570 Gaming Edge Wifi Case: Deepcool Maxtrexx 70 GPU: RTX 3090 RAM: Corsair Vengeance LPX 3x16GB 3200 MHz PSU: Super Flower 850W Link to comment Share on other sites More sharing options... Link to post Share on other sites More sharing options...
Posted May 30, 2021 wrong time to start mining for tax you should listen to a tax consultant, or you can not declare it, and avoid by paying taxes, or paying less taxes by paying yourself with some ntf Link to comment Share on other sites More sharing options... Link to post Share on other sites More sharing options...
Posted May 30, 2021 43 minutes ago, 12345678 said: or you can not declare it, and avoid by paying taxes and get hit with tax evasion/fraud measures later on... If your local law states you have to declare it then just do it. Crystal: CPU: i7 7700K | Motherboard: Asus ROG Strix Z270F | RAM: GSkill 16 GB@3200MHz | GPU: Nvidia GTX 1080 Ti FE | Case: Corsair Crystal 570X (black) | PSU: EVGA Supernova G2 1000W | Monitor: Asus VG248QE 24" Laptop: Dell XPS 13 9370 | CPU: i5 10510U | RAM: 16 GB Server: CPU: i5 4690k | RAM: 16 GB | Case: Corsair Graphite 760T White | Storage: 19 TB Link to comment Share on other sites More sharing options... Link to post Share on other sites More sharing options...
Posted May 30, 2021 29 minutes ago, tikker said: and get hit with tax evasion/fraud measures later on... If your local law states you have to declare it then just do it. tax avoidance is not illegal, though evasion it is they are not the same thing Link to comment Share on other sites More sharing options... Link to post Share on other sites More sharing options...
Posted May 30, 2021 2 hours ago, 12345678 said: tax avoidance is not illegal, though evasion it is they are not the same thing Indeed they are not and you not reporting income or assets is tax evasion, not avoidance. By not reporting your mining revenue or crypto assets you are hiding and lying about the amount of money you have or receive. Tax avoidance means doing your finances in such a way that it results in the least amount of taxes to pay, not lying to the government about your income. Crystal: CPU: i7 7700K | Motherboard: Asus ROG Strix Z270F | RAM: GSkill 16 GB@3200MHz | GPU: Nvidia GTX 1080 Ti FE | Case: Corsair Crystal 570X (black) | PSU: EVGA Supernova G2 1000W | Monitor: Asus VG248QE 24" Laptop: Dell XPS 13 9370 | CPU: i5 10510U | RAM: 16 GB Server: CPU: i5 4690k | RAM: 16 GB | Case: Corsair Graphite 760T White | Storage: 19 TB Link to comment Share on other sites More sharing options... Link to post Share on other sites More sharing options...
Posted May 31, 2021 4 hours ago, tikker said: Indeed they are not and you not reporting income or assets is tax evasion, not avoidance. By not reporting your mining revenue or crypto assets you are hiding and lying about the amount of money you have or receive. Tax avoidance means doing your finances in such a way that it results in the least amount of taxes to pay, not lying to the government about your income. either way it's stuff that you should look up with a tax consultant/lawyer Besides they don't really have any way to look up* on crypto possession, so you could in theory exploit things such nft to pay less taxes *unless you ain't doing some pretty red flags, like increasing electricity consumption without justifications Link to comment Share on other sites More sharing options... Link to post Share on other sites More sharing options...
Posted May 31, 2021 Author 4 hours ago, 12345678 said: *unless you ain't doing some pretty red flags, like increasing electricity consumption without justifications Thats unavoidable a normal mining rig will consist around 20-50 gpus so its obvious they will know the spike in electricity consumption. Link to comment Share on other sites More sharing options... Link to post Share on other sites More sharing options...
Posted May 31, 2021 6 hours ago, 12345678 said: either way it's stuff that you should look up with a tax consultant/lawyer Besides they don't really have any way to look up* on crypto possession, so you could in theory exploit things such nft to pay less taxes *unless you ain't doing some pretty red flags, like increasing electricity consumption without justifications But that's just saying it doesn't matter if it's illegal as long as they don't find out. The problem is that if you never report it you can't spend or use it either. That's where the issue comes in. 2 hours ago, GhostX said: Thats unavoidable a normal mining rig will consist around 20-50 gpus so its obvious they will know the spike in electricity consumption. You could mine on a single GPU and they probably wouldn't bat an eye, but yes a 20+ GPU rig will draw a few kWh extra that would likely put you in an obviously higher consumption bracket than your average without mining. Crystal: CPU: i7 7700K | Motherboard: Asus ROG Strix Z270F | RAM: GSkill 16 GB@3200MHz | GPU: Nvidia GTX 1080 Ti FE | Case: Corsair Crystal 570X (black) | PSU: EVGA Supernova G2 1000W | Monitor: Asus VG248QE 24" Laptop: Dell XPS 13 9370 | CPU: i5 10510U | RAM: 16 GB Server: CPU: i5 4690k | RAM: 16 GB | Case: Corsair Graphite 760T White | Storage: 19 TB Link to comment Share on other sites More sharing options... Link to post Share on other sites More sharing options...
Posted May 31, 2021 7 hours ago, tikker said: But that's just saying it doesn't matter if it's illegal as long as they don't find out. and so, what's wrong 7 hours ago, tikker said: The problem is that if you never report it you can't spend or use it either. That's where the issue comes in. nieh, it really depends on the state though, some shops do accept cryptos, or you can exploit nft, to directly cashout cryptos if there are less taxes 7 hours ago, tikker said: You could mine on a single GPU and they probably wouldn't bat an eye, but yes a 20+ GPU rig will draw a few kWh extra that would likely put you in an obviously higher consumption bracket than your average without mining. well it really depends, you can also declare it as server stuff, or that you need all of those hw to run heavy stuff; ps: I'm not here to incentivate or disincentivate illegal stuff, it's just saying' or blabbish bullshits Link to comment Share on other sites More sharing options... Link to post Share on other sites More sharing options...
Posted May 31, 2021 25 minutes ago, 12345678 said: and so, what's wrong That's up to your moral compass. 26 minutes ago, 12345678 said: nieh, it really depends on the state though, some shops do accept cryptos, or you can exploit nft, to directly cashout cryptos if there are less taxes If you start using undeclared crypto earnings for things you'll start being left with too much fiat money for your spending pattern. That'll become suspicious if you start doing large purchases regularly. Crystal: CPU: i7 7700K | Motherboard: Asus ROG Strix Z270F | RAM: GSkill 16 GB@3200MHz | GPU: Nvidia GTX 1080 Ti FE | Case: Corsair Crystal 570X (black) | PSU: EVGA Supernova G2 1000W | Monitor: Asus VG248QE 24" Laptop: Dell XPS 13 9370 | CPU: i5 10510U | RAM: 16 GB Server: CPU: i5 4690k | RAM: 16 GB | Case: Corsair Graphite 760T White | Storage: 19 TB Link to comment Share on other sites More sharing options... Link to post Share on other sites More sharing options...
Posted May 31, 2021 1 hour ago, tikker said: If you start using undeclared crypto earnings for things you'll start being left with too much fiat money for your spending pattern. That'll become suspicious if you start doing large purchases regularly. again there are several ways to avoid taxes, as the one that I noted before with nft, in some states they are absent or really low taxes on em Link to comment Share on other sites More sharing options... Link to post Share on other sites More sharing options...
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