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  • How does Daskapital handle taxes on income earned by investors from Dasfactoring (Crowdfactoring or Invoice Trading)?

How does Daskapital handle taxes on income earned by investors from Dasfactoring (Crowdfactoring or Invoice Trading)?

The returns obtained through Dasfactoring (crowdfactoring or invoice trading) are treated for tax purposes as capital gains as they result from the difference between the net invested amount and the amount redeemed.

Capital refers to the initial sum invested. A capital gain, therefore, is the profit realized when an investment is sold or repaid for a higher amount than the original value. The assignment of credits in which the debtor is notified of his obligation to pay the assignee means that, at the time of payment, the payment is made by a third party (the debtor) and not by the assignor, which implies the existence, not of an investment income such as interests for example, but of a capital gain.

Contrary to investment income, like interests, there is no obligation for tax retention on capital gains, therefore Daskapital does not retain taxes on returns obtained through Dasfactoring (crowdfactoring or invoice trading), allowing investors to reinvest the tax amounts not withheld.
It is therefore the investor's responsibility to check with their country of residence's tax authorities the income declaration rules and procedures applicable.

If you need further clarification, please get in touch with us at support@daskapital.eu.