I would like to "disappear" an important cryptocurrency amount for tax authorities in a country with high tax rates, in order to avoid paying capital gains tax and wealth tax.
My initial idea is to justify the loss of this capital by investing in a project that will be a failure, or the purchase of an NFT that will go to zero.
The cryptocurrency capital will then "reappear" in a company in a zero-tax jurisdiction. In the middle there will be a traceability break via monero and several companies.
I would like to know your suggestions on possible solutions, maybe you have much better ideas.
First of all this is not an easy 1,2,3 solution you want to setup.
You will need some aged companies with verified wallets you can use for this purpose. You need a "prospect" from one of these companies that explains in details what the investment is about, it's something large companies pay tens of thousands for to get. Once you have this in place it would be well possible.
There may be other maybe easier solutions like, I Invested in something undefined from X but it didn't work and I lost my money / coins - I believe this will require a lot of documentation.
Is this a problem that will come up in the future or do the authorities want answers now?
This a problem that will come up in the future. The idea is to have everything ready (documentation, etc) to justity that I lost my coins.
PaulKruger said:
First of all this is not an easy 1,2,3 solution you want to setup.
You will need some aged companies with verified wallets you can use for this purpose. You need a "prospect" from one of these companies that explains in details what the investment is about, it's something large companies pay tens of thousands for to get. Once you have this in place it would be well possible.
There may be other maybe easier solutions like, I Invested in something undefined from X but it didn't work and I lost my money / coins - I believe this will require a lot of documentation.
Many thanks, second solution seems not bad. Another option I am thinking about is to "simulate" a cyberattack.
I would like to "disappear" an important cryptocurrency amount for tax authorities in a country with high tax rates, in order to avoid paying capital gains tax and wealth tax.
My initial idea is to justify the loss of this capital by investing in a project that will be a failure, or the purchase of an NFT that will go to zero.
The cryptocurrency capital will then "reappear" in a company in a zero-tax jurisdiction. In the middle there will be a traceability break via monero and several companies.
I would like to know your suggestions on possible solutions, maybe you have much better ideas.
Thanks.
Which jurisdiction do you intent to move out from ?
This a problem that will come up in the future. The idea is to have everything ready (documentation, etc) to justity that I lost my coins.
Wealth tax unlike capital gains is not something you can realize in the future its is owed right now to Spanish tax man if you don't live in Madrid region.
carlosbl said:
Spain
Oh your screwed eek¤%&
Ok so hypothetically you can engineer a loss in your portfolio by firstly creating your own token on ethereum blockchain which takes minutes and small amount of ETH. Lets call this token carloscoin. You price carloscoin at 1 ETH. You then put the offer price into etherdelta dex exchange and buy up some carloscoin with i.e 10 ETH worth (i.e $40,000 worth of it). You wait a week and put a new price of 0.0001 ETH equal to 1 carloscoin on the dex. Your portfolio has gone from $40,000 worth of carloscoin to $4 worth or carloscoin on paper. Sell the carloscoin on the dex to realize the $39,996 loss.
Remember your ETH you still own as you control carloscoin. To make carloscoin appear semi legit you would need to give it a website and whitepaper which can be done by cloning and string replacing the name of a sh1tcoin with carloscoin. You will also need other friends wallets (or wallets not associated with you) to do transactions so it does not appear your the only single buyer of carloscoin. You can then later complain you were scammed with a sh1tcoin if anyone questions the loss.
Wealth tax unlike capital gains is not something you can realize in the future its is owed right now to Spanish tax man if you don't live in Madrid region.
Oh your screwed eek¤%&
Ok so hypothetically you can engineer a loss in your portfolio by firstly creating your own token on ethereum blockchain which takes minutes and small amount of ETH. Lets call this token carloscoin. You price carloscoin at 1 ETH. You then put the offer price into etherdelta dex exchange and buy up some carloscoin with i.e 10 ETH worth (i.e $40,000 worth of it). You wait a week and put a new price of 0.0001 ETH equal to 1 carloscoin on the dex. Your portfolio has gone from $40,000 worth of carloscoin to $4 worth or carloscoin on paper. Sell the carloscoin on the dex to realize the $39,996 loss.
Remember your ETH you still own as you control carloscoin. To make carloscoin appear semi legit you would need to give it a website and whitepaper which can be done by cloning and string replacing the name of a sh1tcoin with carloscoin. You will also need other friends wallets (or wallets not associated with you) to do transactions so it does not appear your the only single buyer of carloscoin. You can then later complain you were scammed with a sh1tcoin if anyone questions the loss.
Wealth tax unlike capital gains is not something you can realize in the future its is owed right now to Spanish tax man if you don't live in Madrid region.
Oh your screwed eek¤%&
Ok so hypothetically you can engineer a loss in your portfolio by firstly creating your own token on ethereum blockchain which takes minutes and small amount of ETH. Lets call this token carloscoin. You price carloscoin at 1 ETH. You then put the offer price into etherdelta dex exchange and buy up some carloscoin with i.e 10 ETH worth (i.e $40,000 worth of it). You wait a week and put a new price of 0.0001 ETH equal to 1 carloscoin on the dex. Your portfolio has gone from $40,000 worth of carloscoin to $4 worth or carloscoin on paper. Sell the carloscoin on the dex to realize the $39,996 loss.
Remember your ETH you still own as you control carloscoin. To make carloscoin appear semi legit you would need to give it a website and whitepaper which can be done by cloning and string replacing the name of a sh1tcoin with carloscoin. You will also need other friends wallets (or wallets not associated with you) to do transactions so it does not appear your the only single buyer of carloscoin. You can then later complain you were scammed with a sh1tcoin if anyone questions the loss.
Wealth tax unlike capital gains is not something you can realize in the future its is owed right now to Spanish tax man if you don't live in Madrid region.
Oh your screwed eek¤%&
Ok so hypothetically you can engineer a loss in your portfolio by firstly creating your own token on ethereum blockchain which takes minutes and small amount of ETH. Lets call this token carloscoin. You price carloscoin at 1 ETH. You then put the offer price into etherdelta dex exchange and buy up some carloscoin with i.e 10 ETH worth (i.e $40,000 worth of it). You wait a week and put a new price of 0.0001 ETH equal to 1 carloscoin on the dex. Your portfolio has gone from $40,000 worth of carloscoin to $4 worth or carloscoin on paper. Sell the carloscoin on the dex to realize the $39,996 loss.
Remember your ETH you still own as you control carloscoin. To make carloscoin appear semi legit you would need to give it a website and whitepaper which can be done by cloning and string replacing the name of a sh1tcoin with carloscoin. You will also need other friends wallets (or wallets not associated with you) to do transactions so it does not appear your the only single buyer of carloscoin. You can then later complain you were scammed with a sh1tcoin if anyone questions the loss.
Sounds really to easy to be good but need to be tried.
Have you some links on how to create your own shitcoin on the Ethernetwork ?
Wealth tax unlike capital gains is not something you can realize in the future its is owed right now to Spanish tax man if you don't live in Madrid region.
Oh your screwed eek¤%&
Ok so hypothetically you can engineer a loss in your portfolio by firstly creating your own token on ethereum blockchain which takes minutes and small amount of ETH. Lets call this token carloscoin. You price carloscoin at 1 ETH. You then put the offer price into etherdelta dex exchange and buy up some carloscoin with i.e 10 ETH worth (i.e $40,000 worth of it). You wait a week and put a new price of 0.0001 ETH equal to 1 carloscoin on the dex. Your portfolio has gone from $40,000 worth of carloscoin to $4 worth or carloscoin on paper. Sell the carloscoin on the dex to realize the $39,996 loss.
Remember your ETH you still own as you control carloscoin. To make carloscoin appear semi legit you would need to give it a website and whitepaper which can be done by cloning and string replacing the name of a sh1tcoin with carloscoin. You will also need other friends wallets (or wallets not associated with you) to do transactions so it does not appear your the only single buyer of carloscoin. You can then later complain you were scammed with a sh1tcoin if anyone questions
Interesting approach and method.
If someone was to attempt this, it should be done on a 2nd level of planning and at a jurisdiction which will not care. I.e. you move the crypto outside the country of your residence legally and maybe then you do this losses arrangement to get rid of CFC claims and the like.
I have been using this one for similar structures currently.
Yup thats the one I mentioned in my first link with instructions.
Lawyer101 said:
If someone was to attempt this, it should be done on a 2nd level of planning and at a jurisdiction which will not care. I.e. you move the crypto outside the country of your residence legally and maybe then you do this losses arrangement to get rid of CFC claims and the like.
Wealth tax unlike capital gains is not something you can realize in the future its is owed right now to Spanish tax man if you don't live in Madrid region.
Oh your screwed eek¤%&
Ok so hypothetically you can engineer a loss in your portfolio by firstly creating your own token on ethereum blockchain which takes minutes and small amount of ETH. Lets call this token carloscoin. You price carloscoin at 1 ETH. You then put the offer price into etherdelta dex exchange and buy up some carloscoin with i.e 10 ETH worth (i.e $40,000 worth of it). You wait a week and put a new price of 0.0001 ETH equal to 1 carloscoin on the dex. Your portfolio has gone from $40,000 worth of carloscoin to $4 worth or carloscoin on paper. Sell the carloscoin on the dex to realize the $39,996 loss.
Remember your ETH you still own as you control carloscoin. To make carloscoin appear semi legit you would need to give it a website and whitepaper which can be done by cloning and string replacing the name of a sh1tcoin with carloscoin. You will also need other friends wallets (or wallets not associated with you) to do transactions so it does not appear your the only single buyer of carloscoin. You can then later complain you were scammed with a sh1tcoin if anyone questions the loss.
That's a good one, gave me new ideads, to new business.
