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What are the tax implications of a custodial account for minors holding digital assets?

avatarnowrin rashidDec 26, 2021 · 3 years ago1 answers

I would like to know more about the tax implications of a custodial account for minors who hold digital assets. Can you explain how these accounts are taxed and what are the specific rules and regulations that apply to minors? Are there any tax benefits or disadvantages for minors holding digital assets in a custodial account?

What are the tax implications of a custodial account for minors holding digital assets?

1 answers

  • avatarDec 26, 2021 · 3 years ago
    As an expert in the field, I can tell you that the tax implications of a custodial account for minors holding digital assets can vary depending on the jurisdiction. In some countries, the income generated from digital assets held in a custodial account may be subject to capital gains tax or income tax. However, there are also jurisdictions that provide tax benefits for minors, such as lower tax rates or exemptions. It's important to consult with a tax professional or financial advisor who is familiar with the tax laws in your specific jurisdiction to understand the exact tax implications for minors holding digital assets in a custodial account.