Can a bank freeze an account because of cryptocurrency? What you need to know about Bitcoin taxes

⭐ There are a few immutable rules in the world that every person has to come to terms with, regardless of their attitude to a given situation. One of them is taxes 📈, which increasingly affect cryptocurrency investors as well.

In Poland, the tax obligation for digital assets has been in place for some time. However, the issue still raises many doubts among thousands of investors.

• When should you account to the tax for cryptocurrency profits?
• How to prepare the declaration correctly?
• What to include in the settlement?

Maciej Grzegorczyk, legal counsel and tax advisor from Kryptopity.pl, answered these questions.

💼 Who are the banks lurking for?

Polish banks have repeatedly blocked the funds of customers active in the cryptocurrency market ⛔. Digital assets are an alternative to the traditional financial sector, which creates tensions between banking and the crypto industry.

We asked Maciej Grzegorczyk who is most likely to have their funds blocked by banks.

✅ Good news for individual investors

If you are an individual investor who trades cryptocurrencies on the spot market, the risk is lower than for companies, according to the source. Simply conducting transactions on cryptocurrency exchanges or DeFi platforms should not be a reason for funds to be frozen; however, the bank may ask for an explanation of the funds’ origin, and the assessment always depends on the individual situation.

⚠️ Note to crypto companies

If you are running a business listed in the virtual currency register, you need to be aware that your bank may terminate your banking services contract. However, there is a way to protect yourself from this!

• We have developed a method to protect ourselves from termination by the bank. We send a special request, which constitutes an order for the bank to continue to maintain an account for the cryptocurrency company. The mere fact of dealing with crypto cannot be grounds for termination," explained Grzegorczyk.

⛔ How to avoid trouble with banks?

The most common reason for a problem with a bank is the lack of proper AML ⚖️.

What causes distrust in financial institutions?

• No transaction history,
• Sudden inflows of large amounts of money into the company's account,
• Inconsistencies in financial reports.

📅 Is it worth paying tax on cryptocurrencies?

Under Polish personal income tax rules, taxpayers generally file their annual return with the Polish tax authority by 30 April for the previous year’s income. If you sold cryptocurrencies at a profit and converted them into fiat currency (for example, Polish zlotys), a tax liability may arise 💰.

🌟 MiCA vs. taxes

Maciej Grzegorczyk pointed out some inaccuracies related to the entry into force of the Markets in Crypto-Assets (MiCA) regulation. They concern the classification of tokens as electronic money.

Does owning stablecoins (e.g. USDT) mean you have to pay tax? 🤔

Find the answer in the full interview! 👇

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