Binary Option Taxes and Legalities
Trading binary options is legal almost everywhere in the world and at worst it is a grey area in a few countries in which there are no laws that make it legal or illegal. If anyone was ever considered to be doing something questionable it would be the company giving you the option to trade that would be under scrutiny not you as an individual trader. No one has ever been charged for trading binary options.
Most binary options brokers get there license and legal status from the Cyprus Securities and Exchange Commission or the Malta Lotteries and Gaming Authority, both of which operate under European Union laws and regulations.
Binary options are safe if you chose a reliable and well know broker such as Beast Options.
Binary Option Taxes
Only a tax agent in your country can tell you how profits from trading binary options should be reported to the tax man but in most cases it is tax free. There is an interesting debate regarding whether income from binary options trading should be taxed as gambling income or in the same way as income from investments is taxed or simply as general self-employment income.
Not only does this distinction greatly effect tax rates for winnings but it also determines the ability to claim losses as deductions against other income. It also raises the awkward question how much of what the city of London and Wall Street traders and stockbrokers do could also be called gambling as they are all ways of taking an opinion about an unknowable future event and placing a monetary consideration on it with the possibility of profit or loss.
Trade well!
No comments:
Post a Comment