If you are a forex trader, you are obliged to calculate and report your profits. If you are a trader, you need to submit an “annual trading report” as a required document. Tax evasion is a dangerous act, and we recommend that you do not do it.
What is an Annual Transaction Report?
For traders who have opened accounts and are trading, Forex companies can transfer specified deposits that have been delivered between January 1st and December 31st, domestic stocks received within specified accounts, It refers to a report that a securities company calculates and describes the dividends, distributions, and interest of investment trusts, specified public and corporate bonds, etc.
If you have salary income
If you are a company employee and have salary income, or if you earn income from trading, you can resolve this by filing a final tax return. In the case of trading, it is not treated as salary income, but as miscellaneous income. Another point is that if you look at the profit and loss and it is a profit rather than a loss, you will need to declare it. If you hide your income from the National Tax Agency, you may be subject to penalties as explained below.
Exness transaction history can be downloaded. Please download it at the time you file your tax return. It will be easier to calculate if you pay as much as possible by this time. Calculate by taking into account fees and swap points. You can download it on your smartphone or PC after logging in on the official website. This feature has also been introduced by other companies such as xmtrading and gemforex.
The problem here is that many Forex companies do not even prepare annual trading reports. But with Exness, you can check. You can check your transaction history by following the steps below. First, log in and go to your personal area.
Once logged in, open the Performance tab.
A search screen appears. Order history, select your preferred account and time period from the dropdowns.
By making a selection, you will be able to see your account’s Net Profit, Equity, Total Orders and Trading Volume stats.
For PC trading platforms
If you are using the PC version of MT4 or MT5, you can access your trading history from the account history tab. You can specify the period by right-clicking and selecting “Specify period”. Then right click and select Report > HTML to create a report.
For mobile trading platforms
If you are trading on your smartphone, you can check the history of transactions executed on your mobile device. Click on the History tab to see trade details for all time periods. You can specify the period yourself.
Unfiled tax return
Tax returns must be filed every year. If you fail to file your final tax return, you may be subject to the following penalties and run the risk of having to pay higher taxes than usual, so it is best to leave it as is after making profits. Please just don’t do that. The example below is for Japan.
Filing a tax return occurs when the legal deadline for payment is not met. This is a big risk as it will be more expensive than usual. If it is within 2 months from the day after the delivery deadline, 7.3% will be added, and if it is more than 2 months from the day after the delivery deadline, 14.6% will be added, so this is a big risk.
additional tax for non-declaration
If the tax office investigates that you have not filed a tax return, additional tax for non-filing will be levied. The tax rate is determined by the amount of tax originally paid. If the amount of tax originally paid is less than 500,000 yen, 15% will be added, and if the amount of tax originally paid is more than 500,000 yen, 20% will be added, so this is a pretty big risk. If you voluntarily file a final tax return after the filing deadline has passed and before the tax office investigates, you will be subject to additional non-filing tax, but the tax rate will be reduced to 5%.
If you falsify your books or make false entries, it will be considered a false declaration. In this case, heavy additional tax will be imposed, which is a big risk. The tax rate for heavy additional tax is as high as 35% to 40% of the tax amount, and if the taxpayer is unable to pay the tax, the tax will be seized. This will result in a fairly large penalty, so please avoid this. Further criminal penalties may also be imposed.