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If you own bitcoin, here’s how much you owe in taxes


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If you own bitcoin, here’s how much you owe in taxes

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Whether you've used bitcoin as an investment or as a currency, you owe taxes on it.
As far as Uncle Sam is concerned, bitcoin is not currency. It's property. That means whenever you buy something with bitcoin, it's two transactions, not one. What you're actually doing is selling a property (bitcoin) for a cash value and then using money from that sale to buy a product. So every single purchase you make with bitcoin has to be reported on your taxes.
For many, though, bitcoin is just an investment. If you've held those bitcoins for less than a year and sell them, that cash will be taxed as income. If you've held for more than a year, it's taxed as a capital gain — which could run 20 percent. Adding on transaction and accounting fees could raise costs to 60 percent, as was the case for one early bitcoin adopter.

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Greentrader Tax - Jan'18 :- Cryptocurrency Traders Owe Massive Taxes For 2017
Or, when a coin miner receives a coin for his work, he or she naturally recognizes business revenue based on the value of the coin.
more...
https://greentradertax.com/cryptocurrency-traders-owe-massive-taxes-for-2017/


Greentrader Tax / Forbes - Aug'17 :- How To Report Bitcoin Cash And Avoid IRS Trouble
Bitcoin holders were distributed one unit of Bitcoin Cash for each unit of Bitcoin, a separate financial instrument with a liquid market value. In the eyes of the IRS, that’s taxable income. Bitcoin holders should report the receipt of Bitcoin Cash on their 2017 income tax returns. It does not qualify as dividend income on Schedule B since a cryptocurrency is not a security. It’s also not considered interest income on a debt instrument or bank deposit.
more...
https://greentradertax.com/how-to-report-bitcoin-cash-and-avoid-irs-trouble/


Greentrader Tax / Forbes - Feb'17 :- If You Traded Bitcoin, You Should Report Capital Gains To The IRS
The IRS considers cryptocurrencies, including Bitcoin, to be “intangible property.” Investors and traders holding cryptocurrency as a capital asset should use capital gain or loss tax treatment on sales and exchanges, with the realization method. For example, if you buy Bitcoins with U.S. dollars and later sell them for U.S. dollars, a capital gain or loss needs to be reported on that transaction. An exchange of one cryptocurrency for another cryptocurrency is a taxable sale transaction, even though U.S. dollars are not involved in the transaction.
more...
https://greentradertax.com/if-you-traded-bitcoin-you-should-report-capital-gains-to-the-irs/

Disclaimer: I'm a client of a GreenTrader Tax affliate.

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You mean government will not allow private companies and individuals control the money supply?

Dang....

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