Hi,
I have a difficult situation with my crypto cashouts. I have some crypto from long ago, with documents confirming getting the coins when they were cheap, but no history of transactions over the years, also bad passport etc. I have a bank that accepts not-so-large withdrawals from crypto exchanges, but they ask me regarding each transfer and apparently not very happy about that. Not really reliable. Also if I move that money somewhere else, the next bank / real estate agent / whoever asks the same question regarding source of funds and are not as understanding as my bank. So, difficult.
I've been told that it would be easier if the source of funds was dividends. I believe it can be easy for smaller amounts, but I don't know how it works for larger amounts (say, a few millions)?
Can I inject my crypto into company as "capital contribution" or "shareholder loan", sell it all through a corporate account at crypto exchange and withdraw to a corporate bank account (the bank is okayish with crypto)? Then pay corporate taxes due if any, distribute everything as dividends and call it quits? Balances would not check out (no profit, but divs distributed), but there are places where accounting is not needed.
What's next? Will a bank statement showing a "Dividend distribution" transfer from a corporate bank account to the personal one and, say, a "Dividend resolution" docs enough for banks? Or they would ask for the company accounts, company docs, company KYC, check substance, require contracts, invoices and staff?
Please advise. Would it work? Is it legal at all? Would prefer to keep it legal. Looks fine to me. Started a business, funded with crypto. There is SoF, I will provide it to the crypto exchange and my bank. Exchanged, then decided to not go with the business, distributed all the capital back to shareholders. Probably, it should not be even taxed depending on the jurisdiction. All the same but now I have better source of funds docs and don't need to explain anybody again about that magical Internet money making your investments 10000000x.
I have a difficult situation with my crypto cashouts. I have some crypto from long ago, with documents confirming getting the coins when they were cheap, but no history of transactions over the years, also bad passport etc. I have a bank that accepts not-so-large withdrawals from crypto exchanges, but they ask me regarding each transfer and apparently not very happy about that. Not really reliable. Also if I move that money somewhere else, the next bank / real estate agent / whoever asks the same question regarding source of funds and are not as understanding as my bank. So, difficult.
I've been told that it would be easier if the source of funds was dividends. I believe it can be easy for smaller amounts, but I don't know how it works for larger amounts (say, a few millions)?
Can I inject my crypto into company as "capital contribution" or "shareholder loan", sell it all through a corporate account at crypto exchange and withdraw to a corporate bank account (the bank is okayish with crypto)? Then pay corporate taxes due if any, distribute everything as dividends and call it quits? Balances would not check out (no profit, but divs distributed), but there are places where accounting is not needed.
What's next? Will a bank statement showing a "Dividend distribution" transfer from a corporate bank account to the personal one and, say, a "Dividend resolution" docs enough for banks? Or they would ask for the company accounts, company docs, company KYC, check substance, require contracts, invoices and staff?
Please advise. Would it work? Is it legal at all? Would prefer to keep it legal. Looks fine to me. Started a business, funded with crypto. There is SoF, I will provide it to the crypto exchange and my bank. Exchanged, then decided to not go with the business, distributed all the capital back to shareholders. Probably, it should not be even taxed depending on the jurisdiction. All the same but now I have better source of funds docs and don't need to explain anybody again about that magical Internet money making your investments 10000000x.
