Danish Bitcoin traders targeted for tax payments

The Danish population may be considered as the happiest one in the world, but that happiness may not translate into the future some of the Bitcoin traders will be facing soon. According to a press release on Dec. 10 by Denmark’s tax agency Skattestyrelsen. More than 2,500 individuals will have to pay-up their due taxes on Bitcoin gains.

The reason why these people are being targeted just now is because they didn’t use a local cryptocurrency exchange, therefore they were a bit harder to track down. The Danish citizens used the services of an unnamed Finnish crypto exchange. All of the services occurred between 2015 and 2017. The reason the tax agency is “hunting them down” is because they didn’t declare any of their profits. This may turn into an unhealthy habit as Danish traders may opt for CFD cryptocurrencies in the future with Norwegian Forex brokers here, as they will not be part of the EU jurisdiction, making it a lot more easy to access the market.

On the Hunt

All of this was enough cause for Skattestyrelsen to go out and track these individuals down, in order for them to pay what they’re due. But the fact is, those Bitcoins gains are either gone when compared to 2017 figures or just cashed out and re-invested somewhere else.

Karin Bergen, who is the tax director of the country announced that at this very moment, the resources of the agency are directed towards identifying and tracking down these individual citizens. All of this indicates that those 2,700 people aren’t the only ones on the radar. There are still more to be found. However, Bergen did add that nothing serious is in mind at this point. The only thing the agency will do is contact these individuals and just gather information, to make sure the sources align. They still cannot confirm the exact number of these Bitcoin traders.

Finland to the rescue?

By a source, we mean the Finnish tax authorities. The crypto exchange where the trades were conducted have not been named, but it is already known that the Danish tax agency was indeed alerted by the Finnish.

According to the documents, the traders involved in this massive Bitcoin investment spree, have spent more than $7.5 million on the coin and have gained more than $8 million in total. Not that much of a surplus when you look at it.

This is not something to be scared of for Bitcoin holders in the country. Like anything else, comply with the local law and you’ll be fine. However, Denmark does indeed send some mixed feelings about cryptocurrencies. As of now, the country has quite a lot of businesses that accept Bitcoin as actual payments as an alternative to Krone, the country’s fiat currency, while banks like Nordea ban their employees to own crypto in general. Quite the conundrum.

Image source: rsf