The message sent by K God @ keyahayek yesterday is true. The person who posted it happens to be from Xiamen, and it has been widely circulated in the US stock market. There are many people in Xiamen who are high-frequency in the US stock market, so it is easy to inquire. It is rumored that well-established Chinese securities firms such as Futu and Tiger were the first to be investigated, reportedly aiming to connect with the tax bureau for more than 150000 US dollars. Accounts with large transaction volumes from 2020 to 2024 are likely to be recovered. For most people, it doesn't matter as long as you're not a top trader in terms of trading volume or assets. Don't worry at all. American securities firms such as IBKR Interactive Brokers may have data exchange, but detailed trading history cannot be obtained and requires you to provide it proactively. After a long time, even if I wanted to check it myself, I couldn't find it 😂， Finally, it can only be determined by the deposit and withdrawal of bank cards, so there is currently nothing wrong. Why was this person found? In fact, the tax bureau has always had data on banks and securities firms, but there is not enough manpower, so the first priority must be to focus on the big and the small. Especially for overseas taxation, the amount of data that needs to be verified is even more complex, and the labor cost is not enough to collect tens of thousands of dollars. The reason for being investigated is because of the huge trading volume, with a trading volume of 161 million US dollars, making it a big player in the US stock market. Who knew it was a leek with an overall loss of 50000 US dollars and a loss of 99.5% of its principal. If it gets on the hot search list, the tax bureau will still be scolded How is the tax calculated if taxes need to be paid? China does not levy capital gains tax. The calculation based on single profits shown in the picture is actually based on property transfer tax. This tax collection method is certainly unreasonable in the case of the US stock market, but there is no separate tax for this situation. If it is income from stock dividends, paying an additional 10% tax in China is sufficient, and there is no significant change for long-term investors. The specific regulations are as follows Regarding capital gains from Hong Kong stocks, there are two types of tax treatment in mainland China. One is that gains from stock trading through Hong Kong Stock Connect accounts are exempt from personal income tax in China; The second option is to transfer stocks of Hong Kong listed companies directly through a Hong Kong securities account, which requires reporting overseas income to the Chinese tax authorities. Moreover, the Hong Kong region exempts foreign Hong Kong stock investors from capital gains tax on the bid ask spread, therefore there is no tax credit for mainland China. Investors are required to pay personal income tax at a rate of 20% on property transfer income. Will ordinary investors be required to pay taxes? The rumor that Hong Kong and US stocks need to pay taxes has been circulating for a long time, and there are always rumors about it. But in fact, the enforcement cost of overseas income is very high, and data needs to be verified, so it is definitely a matter of focusing on the big and the small. There is no reason to separately investigate the profits of small retail investors in the tens of thousands of yuan, and finally collect thousands or tens of thousands of taxes and fees, so there is no need to worry. Will profits from cryptocurrency assets be subject to taxation? At present, it doesn't seem to be possible because all transactions on the exchange are conducted in cryptocurrency, not through fiat currency. Taxation requires checking your fiat currency profit records. Cryptocurrency assets such as BTC and ETH are not recognized in China and are traded as commodities. If you want to be taxed, you must first recognize that cryptocurrency assets are legal assets and belong to financial assets. However, as digital currency trading has become increasingly compliant, it is difficult to guarantee whether the recognition of assets will lead to a retrospective analysis of several years' profit data in the future. If taxation is ultimately required, it is also based on Hong Kong and the US stock market, which requires complete records of inflows and outflows. Trading records can match all profits, which is much more difficult than stocks. Unless you have huge profits, there is no need to worry