Tax Avoidance Forum

Hello,

Is there a place to get Tax advice on this forum?

In the UK you are allowed up to £12,300 (AIA, Annual Investment Allowance) without having to pay capital gains. If you have a partner you can also use their allowance eg £24,600

I was wondering if you could create an NFT for say a classic boat or a classic car? The idea is that if that were possible then anything spent on the boat or the car would count as capital and not revenue.

If I started a leisure company which allowed people to play a game where they collect classic tokens which can be redeemed for real life adventures eg Driving a classic GT4 Turbo around a track. They also get to keep that token and a video file.

Can NFTs be used to turn physical assets into working capital? If that were possible I could also get tax relief on repairs or kitting up that turbo.

I’d appreciate any thoughts. Note tax avoidance is not illegal. If crypto is smart money then it should be used as a tax avoidance vehicle. I mean this quite literally :wink:

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Good Topic!!!
Here are figures for the US in a quick Google search…
image
I keep hoping these rates never go up!!!

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NFTs used in purchases of real assets will incur capital gains
https://www.cnbc.com/2021/03/17/tax-surprise-looms-for-nft-investors-who-use-crypto-.html

Can that work the other way?

Eg in the UK you can include a car used for business as an “writing down allowance”. That is on top of the AIA of £12,300 already mentioned.

You create an NFT for each component upgrade or repair of this car. The NFT is burned once work is completed or created whichever can be used as a capital allowance.

If you are offering a time share eg to drive that vehicle around a track this could also issue or burn an NFT (again whichever works best). The loss incurred surely would act as another capital allowance for tax on any profits?

Any thoughts whether this would be allowed would be appreciated?

You know if they are going to tax us on the price of ether rising then surely that can also be offset by the cost of repairing our own shit. Eg all the gains on that ether paid for some nice garage upgrades to a racing vehicle. I’m just a driver I don’t actually own the garage or the vehicles I am driving. Get me :slight_smile: !

It was a pleasant surprise to see how much US residents save on capital gains tax if they eliminate earned income.

Hello, modboy! Well, not only you are trying to use the cryptocurrency to avoid taxes. For me is a good way today to earn more profits before the cryptocurrency operations are covered with the proper legislation from the government why I need to use the paystub generator or accountant if I can simply avoid any taxes by using the different cryptocurrencies to pay for the different services on the Internet, now you can see that many people selling the NFT tokens as the promo cards that allow to buyers have the wide variety of physical services.