It’s true that most government authorities around the world are beginning to show interest in profits earned through Bitcoin or any cryptocurrency. As reported by a Finnish-English news outlet, the tax authorities of Finland have been tracking the bank records of its citizens to figure out if any undeclared cryptocurrency transactions profits.
According to Metropolitan.fi, the tax office has identified almost up to 3,300 citizens who owe taxes related to gains occurred while trading cryptocurrencies. This accounts for approximately 30 million euros of profit gain.
Inspector from Tax Administration’s Corporate Taxation Unit, Timo Puiro says that,
“The majority of people have previously failed to report their bitcoin-related income, which we have found when we compare the information we collect to the tax information reported…The Tax Administration has extensive access to information, for example, to payment information, and we have different ways to combine information and identify people. “
This action was made easy due to ‘generous access’ given by the bank to tax officials. This along with the other financial information aided the officials to discover the linking between Bitcoin transactions from cryptocurrency exchanges and other trading platforms.
Although the Finland tax authority has identified Bitcoin as one of the ‘high-risk area’ and ready to track down all illegal sources, users continue to escape through them.
As per Purio,
In analytics related to bitcoin, Finland is in a leading position and we have consulted quite a lot with authorities from other countries.
He further added that last date that taxes can be filed in Finland is May 15 and urge all the citizens who have made a profit on cryptocurrencies tovoluntarily declare the income to the tax authority and failing which will liable for criminal tax evasion.
Join the newsletter to receive the latest updates in your inbox.