Denmark's Supreme Court has recently ruled that the profits generated from the sale of Bitcoin (BTC) assets should be subject to tax.
The court said specifically, two cases of BTC profiting have a tax liability.
The first case includes an entity that purchases BTC from a third party and sells them.
- The second concerns miners receiving BTC as a reward and selling the rewarded coins.
- The Supreme Court also pointed out that any sales by those in the first instance should not be exempt from tax since their BTC acquisition is speculative in nature.
- The tax liability in the second instance was explained by the basis that the BTC purchase through mining generates revenue.
In 2018, Denmark's tax authorities also declared that 2,700 people who generated profit from the sale of $8M of bitcoin via a Finland-based exchange should pay taxes.
