I keep hearing trades are taxable? Also what about cashing out

>>2209975
cashing out into fiat = tax

>>2209975
convert your crypto to BTC
buy products directly for BTC
enjoy tax free money

Honest dumb question from a non-murrican

How would the government even know someone cashed out their bitcoins? Why would you declare them?

>>2210088
you wh=ould need to cash out into your bank account right?
so you will have to declare where does the money come from

>>2209975
buy a lambo with BTC then sell the lambo for cash

>>2210070
depends on how you do this though, right? (well, depends on where the company you're buying the shit from is located, because of whta regulations they have to follow)

from bitcoin.tax/faq:

>All US citizens and residents are subject to a worldwide income tax. This means that where ever money is earned, what ever currency, it is taxable.

>Any gains made from selling Bitcoins within any exchange are taxable
>Any gains made from selling Bitcoins to any individual are taxable.

>Any income of products or services purchased with Bitcoins are taxable.

>>2209981
transferring the usd to your bank account is "cashing out". whatever you have on the exchange as "usd" is not usd. you can't pay taxes on your exchange wallet "usd" because they would need to be in your bank account to do that.

>>2210660
>gains
you aren't gaining anything until it's in your bank account.

>>2210732
With normal stocks, sure, but bitcoin taxes are retarded. You have to report mined coins as income. It's idiotic.

Lmao americucks and their constant worry about taxation
Land of the free amrite

>>2210866
how the fuck is that supposed to work? you can't just transfer 30% of your "capital gains" and tell the bank jewst it's just the taxes you owe from your recently sold buttcoins and you want to make sure you have it in your account to pay at the end of the year. you'd still get stuck with paying 30% tax on those transfers because they would be considered capital gains. madness.

Making profit from cryptocurrency works the same way as stocks as far as taxes go. God forbid any of you neets get audited and don't have any detailed records of your transactions.

>>2210732
You have realized gains/losses in any trade that starts in something other than fiat. Buy ETH with USD, no gains. Buy ETH with BTC, then you have realized gains/losses in the BTC used for the purchase

>>2209975
Polo doesn't cash out does it? UST is still a crypto just at .9 to 1 of the US dollar.

They can only tax you on fiat, if you trade from crypto to crypto.

You get taxed for buying things though,so don't buy a Lamborghini without telling that is a giant look at me, lease it.

>>2210866
got any guides to start mining? i have no idea how to set that up

>>2210906
yeah, they expect you to report gains/losses basically every fucking month for all your holdings

>>2210645
Then the irs will ask where you got that lambo from. Trust me man this is how rappers go to jail. Not for dealing drugs but for not paying taxes when they buy expensive shit

>>2210929
if you've got a rig already, figure out what yours does best. check out nicehash or coinwarz to see what's most profitable, then look for a good mining pool (don't just start mining a total shit coin because it's the absolute most profitable by a few cents, though...mine a decent coin. Anything on the front page of coinmarketcap is probably fine.

File: 1483961400184.jpg (18KB, 407x515px) Image search: [Google]

18KB, 407x515px

>>2210866
>You have to report mined coins as income.

Shit.

Guess it's time to roll some new aliases for my mining profits.

>>2209975
After calculating everything I find that I owed 100 dollars in 2013 even though I lost 600 the following year. What do? Can I report this late without them going HA!!! GOTCHA!!!! and nailing me in the ass.. They didn't even fucking make the law clear until 2014.

>>2210926
You're only taxed on the fiat value, but coin to coin flips are still taxable events

>>2210945
i keep reading that shit is unprofitable. (if youre talking about GPUs)

>>2210985
It is for BTC. If you have an explosive coin like ETH, you can dump all profits into it through an auto-exchange pool like miningpoolhub.com

>>2210991
what about LTC?

>>2211010
Scrypt mining is ASIC-based. To mine profitably on GPUs, you need an ASIC-resistant algorithm behind the coin.

>>2211022
how do you recommend to start?

>>2210950
I think any losses you made can be recorded as tax deductible, so it would probably actually benefit you to report to the IRS that you made losses on your investment.

>>2211031
https://github.com/nicehash/NiceHashMiner

>>2210686
I believe this is incorrect. If you cash put for USD it is taxable, doesn't matter where the USD is stored. USD tether, however, may not have this applied.

>>2211095
Whether crypto -> crypto exchanges are exempt is ambiguous, actually. It's assumed that they are taxable events until the IRS says otherwise.

>>2210922
You need to transfer those "gains" to your bank account in order to pay the tax. How do you explain (bank and IRS) that what you're transferring is just for what you owe for taxes?

>>2211032
>2211032
yeah basically capital gains loss

>>2210088

You are required by law to willingly report it

Other than that, it's all based on the honor system.

You're fucked if you get audited and they see it.

>>2210963
No they aint, they only taxable on cash out,