Do I have to pay taxes on cash purchases? I get around 35,000

yes you have to pay tax on crypto, it's like capital gains. You pay taxes on what you cash out for the year.

The IRS doesn't care where you got your money as long as you pay taxes on it.

i guess you'll have to use less reputable exchanges that don't care who you are (yoshit) and buy 'stuff' with your coin to sell or sell for more cash.

>>2638444
you are supposed to pay capital gains tax on every single transaction but honestly if you cash out to fiat in one big sum per year and just pay taxes on that I doubt the IRS will go after you as long as they are getting paid.

If you only buy bitcoin and hold it for longer period of time before cashing out then you can pay long term investment taxes which are less harsh than capital gains.

Do I still have to pay taxes if I've done nothing but lost money since I started crypto?

I'm really bad at this

Take that cash as gold eagles, since it's consider legal tender. And pay the tax on the legal tender of $50 its valued as rather than spot prices.

>>2638521
it's much easier just to pay taxes properly then trying to fudge the numbers to "once per year." plus there's a big difference between the long and short term tax rates so you bet your ass the IRS is going to make sure you are reporting every trade and are not trying to short change them at 15%.

>>2638467

>The IRS doesn't care where you got your money as long as you pay taxes on it.

they do care why would you just go around telling lies

Or you know. Don't be a fucking retard. Never cash out until you have millions. Put all money on Bitcoin wallet on laptop. Leave country and go to a non cucked country.

Extract gainz and pay 0% taxes.

>>2638521
>>2639251

wait, am I expected to pay taxes for every single trade I make on bittrex?

>>2639885
yes

https://www.irs.gov/pub/irs-pdf/f8949.pdf

>>2638467
>>2638483
>>2638521
>>2638535
>>2639867
Read the OP dipshits. He is asking if the IRS will find out if he BUYS INTO CRYPTO WITH HIS CURRENT CASH THAT HE HAS NOT REPORTED TO THE IRS

HE HAS CASH
HE WANTS CRYPTO
NOT
THE
OTHER
WAY
AROUND
FUCK

>>2638444

Long term 15%.

If it's short-term you pay it as if it were your income. So if you made 30k and you earn 30k a year that means your income was actually 60k.

>>2638467
Holy shit good thing they don't care about the commission I'd collecting on laundering money for arabs

>>2639955

Unless you get fucked on localbitcoins and the person selling to you is the police, you should be fine. The harder part is when you would have to sell back your gains on localbitcoins and that will further increase your chances of getting fucked and accused of money laundering by some undercover cop or some shit.

>>2638444
>35k every 3 months
>nearly 12k a month
>all cash
Either you're making it through illegal means, or you're larping.
On the of chance you're serious and this is legally acquired, you better pay your taxes nigger, because that's income.

>>2639897
just lol

>>2640050
don't worry friend, if you make less than like 37k a year you don't owe anything. being poor keeps things simple.