Chilean Traders Can Deduct Cryptocurrency Losses from Taxes

Chilean individuals who trade in Bitcoin, Ethereum, and other cryptocurrencies can now deduct their losses, the country’s tax authority said.

Deductible losses can be claimed during the corresponding fiscal year or following years, according to guidance published Monday.

• Individuals make up the majority of taxpayers who deal in cryptocurrency trade, normally as a secondary source of income, the tax authority said.
• Commissions paid by taxpayers to cryptocurrency exchanges can be declared as “general deductible expenditure necessary to produce income,” the guidance said.
• The cost of purchasing cryptocurrencies should be calculated according to the oldest direct ...