Water and oil. This best describes the relationship between cryptocurrencies and taxes. The current taxation model dates back many years ago before Nakamoto launched cryptos. This makes it quite difficult to adhere to the taxation policies for crypto traders. One crypto trader in Sweden knows this best and now owes the government $885,000 in taxes for his crypto trading business.
Linus Dunkers began trading in Bitcoin back in 2014. Back then, not many traders were active traders and he had to learn most practices along the way. Being a law-abiding citizen, he contacted the Swedish tax agency to declare his activities. He was ready to pay his taxes which he thought would be a few thousand dollars at most. He was in for a surprise.