The Arbitration Court of the Rostov Region has ruled that regular cryptocurrency trading on P2P platforms constitutes entrepreneurial activity. This decision was made in the case of an individual entrepreneur who declared an income of 800,000 rubles for 2022, while 143 million rubles passed through his accounts. Later, he reported crypto-related income of 92.4 million rubles — but without supporting documents.
Why the Federal Tax Service made this decision:
* The trading was systematic: 92 bank cards were used, as well as foreign accounts and third parties were involved.
* The court, based on the Civil and Tax Codes, recognized cryptocurrency as property, with income from it subject to taxation.
* Result: additional tax charges of 5.46 million rubles plus fines of 273,000 rubles.
Expert opinion:
Ignat Likhunov, Cartesius: “…the tax authorities have the right to classify all your transactions through personal accounts as entrepreneurial activity if they are systematic and aimed at making a profit…”
He notes that the court correctly applied tax law norms to crypto trading, and individual entrepreneurs on the simplified taxation systеm (STS) are not entitled to personal income tax deductions.
Starting November 2024, cryptocurrency is officially recognized as property in Russia. When the selling price exceeds the purchase price, this becomes a taxable base: 13–15% for individuals, 25% for legal entities.
1. If you trade frequently and systematically, keep in mind that the tax service may classify you as an entrepreneur and recalculate your taxes.
2. Individual entrepreneurs using STS and trading crypto must inсlude such income in their tax return, with no deductions.
3. If you trade as a private individual but actively, be prepared to justify your expenses to be taxed only on the profit.
The court made it clear: regular P2P crypto trading is a business. Anyone who wants to avoid claims from the tax authorities must either justify their expenses or register as an entrepreneur. The message is clear: active trading, even in digital assets, can lead to tax obligations — and serious ones.
