Bitcoin, Altcoins and TAXES!
Updated Post: https://steemit.com/bitcoin/@lifebyadam/update-what-you-should-know-about-the-coinbase-tax-irs-situation
Just want to bring some awareness to taxes when it comes to bitcoin, altcoin etc transactions like withdrawals, sales, conversions, mining etc. Currently, a lawsuit is in the works involving the IRS and Coinbase where the IRS is trying to get Coinbase to release information on United States customers. Links below to more info.
http://www.thetaxadviser.com/newsletters/2017/apr/cryptocurrency-taxes.html
https://en.bitcoin.it/wiki/Tax_compliance
https://www.thebalance.com/how-bitcoins-are-taxed-3192871
I am preemptively downloading all reports and am keeping very good records of my trades. I would love to store these in a blockchain in fact. (More on that coming up in a future post of mine. FOLLOW ME!!!)
I was on Poloniex for a while, so that is one spread sheet. The deposits and withdrawals are noted and crossed referenced on the other spread sheets. So, when you withdraw funds, always add a note to it. At the end of the day, all the coin totals should match what you have. If you were cautious like me, then I would recommend only cashing out from a site like Coinbase, with reports available, so all records are retrievable. Remember, all your transaction fees are tax deductible expenses!
But, my understanding is that every time you spend or give away crypto, it is a taxable event. This is a scary thought but that is what I have heard. So I don't do that. All in with crypto or back it goes to my bank account - although I did buy some mining power at Genesis mining with btc. Oh crap. Forgot about that.
Anyone have any concrete info on any of this?
: )
Please follow me!!! My next post is gonna be great!
#payitforward
I personally just use Shift Card to spend my crypto. Not sure if that counts as a "withdraw" or if that qualifies me to report it to IRS. I guess we just wait to hear more on this. Also isn't coinbase required to report what payouts are being done in FIAT?
I'm doing a little digging on what coinbase does and what they're required to do. I'll do an updated post/video once I have a good understanding.
Followed you bud. I want to keep an eye on this. Great post.
Thank you! Followed you as well!
Hey gubment get your greedy paws off my fuckin crypto!
what He said!!
All 3 links are down.
Fixed the links
I thought the IRS lost against coinbase regarding bitcoin.
They will never give up, not until they get their cut of the money
The whole point of alt coins is to keep them from stealing our money ... this is not good. I thought this post would have had a 1,000 votes and comments, /sad ..
You might be able to do that if you never exchange it back to USD
I have updated this in a new post: https://steemit.com/news/@lifebyadam/update-coinbase-and-irs-lawsuit
I'm usually quite the positive guy, but this "tax tax tax" sacrifice you and others are preaching is quite ridiculous.
Especially the U.S. Government has done so many atrocities, that you should all day everyday try to hide your Coinworth and get cash or don't even leave the cryptosphere.
If you think it's cool to:
Then YES please pay even more taxes. No better, please send ME 60% of your coins. At least I can spend it on something useful!
They always want slices of the pie
Followed! I have questions on this also. Time will tell I guess.
New Post with Updates: https://steemit.com/news/@lifebyadam/update-coinbase-and-irs-lawsuit
Taxes bum me out