Cardano staking and taxes

English General Discussions
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I’m still confused on how taxes work via staking.

While there aren’t any concrete rules, it’s common to tax it as income.

An example;

Say I put 20k cardano into a pool and plan to keep it there for 10 years and not look at it.

While there, Cardano goes up to $20 dollars in 5 years.

All the while I am accumulating rewards.

At year 10 I plan to sell 25% of my Cardano, but unfortunately it dropped down to $5

Q: Won’t I have to pay higher tax on each ADA since some were minted when it was high?

Secondary questions, are staking rewards added to the main amount after each epoch?

2

Q: Won’t I have to pay higher tax on each ADA since some were minted when it was high?

There are rules feom country to country… for example I will pay 10% taxes for proffit… If when I bought ADA I spent 5000€ and when I sell I have 20000€ then I will pay 10% from 15000€

Secondary questions, are staking rewards added to the main amount after each epoch?

Are added to the stake amount but u will not spend the rewards, u will need to withdraw them first (to move from stake address to payment address)