Tom Maguire: The cryptic tax rules that surround bitcoin and its ilk
There are no specific rules in connection with crypto-assets, and therefore any transactions in them need to be carefully analysed
The Revenue Commissioners first issued guidance on the taxation of cryptocurrency transactions back in April 2020. The organisation now says that this guidance has been further updated in the past couple of weeks.
It points out that while cryptocurrencies are referred to as a currency by many, they are best referred to as assets. Therefore, the guidance uses the term “crypto-asset”, which includes cryptocurrencies, crypto-assets, virtual currencies, digital money or any variations of these terms.