As the popularity of cryptocurrency continues to grow, it’s important for individuals and businesses to find an accountant that can understand how it all works. Some accountants are clueless about the new trend, while others simply refuse to accept it. But with the help of Valles Accountants, you will not only get the support you need but also be provided with up-to-date information on taxation laws and regulations. Here, are some things accountants should know about digital money.
At its heart, crypto is a complex concept. Essentially, digital currency refers to the use of cryptography to control the creation, transfer, and storage of the units of currency. But just like any other asset, it has an origin.
In the early days of digital money, the physical act of buying and selling didn’t exist. Instead, exchanges occurred between computers. However, due to technological and security concerns, the exchanges weren’t able to handle the large number of transactions happening on a daily basis. As a result, entrepreneurs decided to focus their attention on creating a “blockchain”, the software that handles the transactions.
So in 2017, we now have the technology to facilitate crypto transactions in a similar manner to traditional banking.
Everyone is legally required to keep their financial records for tax purposes. Digital currencies like Bitcoin and other cryptocurrencies are different from regular currency, as they are unregulated and unverified.
While there are certain steps accountants can take to help crypto holders gain the necessary knowledge on taxation laws, their understanding should not be at the expense of the clients’ time.
Different Taxes and Regulations
With their constantly changing tax rules, cryptocurrency holders are at the risk of getting themselves into trouble. For instance, the Australian Taxation Office (ATO) announced a new assessment period for Bitcoin purchases in 2017.
Taxation laws in other countries can be a lot more complicated, and not all holders can agree on a single rule or tax code.
Unlike other businesses, accounting businesses also deal with currency. As such, the job requires expert knowledge in cryptocurrency, which can help individuals keep their business and personal finances under control. With knowledge of cryptocurrency, you will be able to protect your assets. For example, the majority of cryptocurrencies are not controlled by the U.S. government or any other national authority. As such, you will be protected against fraud as well as prevent possible seizure of your assets.
Valles Accountants and cryptocurrency accountants Sydney boasts itself as the company that works with digital currency accountants, cryptocurrency lawyers, and many other forms of crypto companies and businesses.
Digital currency might be all the rage nowadays, but when it comes to tax laws, it might not be your thing. That’s why it is important to pick the right company that understands how the new form of money is changing the world of finance.
A great thing about Valles Accountants is that they have been successful in consulting the right specialists for the industry. Their services have been recognized by various entities and have received feedback that they “absolutely do know what they are doing.” You can rest assured knowing that their services are worth the money they charge.
So, if you are looking for a dedicated firm that can assist in structuring your business and understanding your business, check out Valles Accountants.
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