Okay, so how do taxes and Crypto work? I know nothing anyone

Also I'm from the USA.

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>>2011007

sauce on those tits OP

>>2011025
Dunno, wish I did though.

when u sell, you gotta pay

>>2011007

>paying taxes on transactions that the IRS will never know about

I seriously hope you don't do this.

every crypto transaction is a taxable event
if you buy from coinbase or another exchange by credit card, record how much $/eth it was

you then have to adjust your total $/eth based on that to make your cost basis
if you sell eth for cash, the selling price - cost basis is your taxable gain

it becomes a nightmare if you're going to file and have been trading eth/btc pairings

>>2011007
cryptobizcentral.com/taxes

Go to the link at the bottom (Bitcoin tax). The best comprehensive guide I have found for cryptos taxes so far

capital gains taxes on crypto after you sell to fiat

>go to a tax haven with your crypto
>cash out there
eeh

anyway in 2030 switzerland will be a btc tax haven with 100% services accepting BTC so you go with 21 BTC there and live like a lord for life without ever cashing out.

Only morons report crypto gainz to the IRS.

>>2011119
so its not a case of, having a crypto amount, increasing that amount through trading of exclusively crypto, then only getting taxed on what you actually convert to fiat currency?

>be me
>lose money on TRUMP and BLRY
>$100 off my taxes
feelsgoodman

>>2011007
Crypto is a commodity.
That means its an object you hold in order to sell for gains.
You dont pay money on it while you are holding it.
When you sell it then you pay taxes on however much you sold it for.
There is also the barter system which states that if you trade a commodity for another commodity then both parties have to pay taxes on the value of the received commodity.
So if I trade you $100 of eth for your $200 of eth then I would pay taxes on $200 gain and you would pay taxes on $100 gain.
So trading btc for eth would tax both parties.
The government has been pretty lax with enforcing the barter tax though but always protect your rectum.
You are also required by law to have a record of every transaction.
If you get audited and you dont have that documentation then they can rape you.

Interesting read I found here.

http://www.thetaxadviser.com/newsletters/2017/apr/cryptocurrency-taxes.html

>>2011822
Is there any way they can practically enforce barter tax?

>>2011813
Thank you for the laugh
You may be the single moron on earth to not manage to get profits from cryptos

>>2011857
>enforce barter
The barter tax is justification for an audit.
Then during the audit you are required to show your records of transactions.
The real question is how do they enfore not having your records.

>>2011870
And yet in the end I gained what I lost while bag holders gain nothing.
Makes you think.

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>>2011007

I used bitcoin.tax and exported a file into turbotax.

They let you pick how to calculate gains.

I picked the most conservative method in case there's a crack down at some point in the future.

>>2011007
>implying you have to pay (((taxes)))

if you want to im pretty sure you just file it under capital gains

>>2011888
You traded on memes and hype and were forced to sell.

It does make me think. It makes me think that you are a dumbass.

>>2011891
Bootlicking cuck

Dude fuck off this shit isnt taxed get bent jew