Can I just constantly buy low, sell high, then buy another currency at a low price, sell high, over and over again? Is each transaction really taxed?
Tell Me
Asher Torres
Jason Baker
Only pay tax on the difference between what you put in and what you cashed out. There's no way for them tor reliably track the value difference between hundreds of shitcoin transactions
As long as tax man gets his cut, he won't ask questions.
Parker Watson
you only get taxed 20% of the profit you make assuming you live in america. So if you turn 500 into 1000 you pay 100 bucks in taxes. you turn that 1000 into 2000 you pay 200 more in taxes. you can write off up to $3000 in losses though.
Aaron Jenkins
........
Fuck paying taxes on crypto. At least with stocks the gov rigs the market for bulls. You literally get nothing out of it.
Adrian Jones
So if I start with a $100 investment in crypto 1, sell it all for $200, then invest that $200 in crypto 2, and sell it at $400, the only taxed amount would be $300, of which I would pay 20%?
Isaiah Baker
Technically you have to report every transaction whether it’s dollars to crypto or crypto to other crypto. Obviously enforcing this is going to be challenging so do what you feel comfortable with I guess?
Dylan Cooper
yup. you'd owe $60
Joseph Roberts
they want you to report every transaction but you only get taxed on what you profit on. the rest is just for record keeping. if you report a transaction as a transfer and not a trade for instance, you don't get taxed anything on it. if it's a trade where you make 1 dollar well you owe 20 cents now
Jace Ward
Technically means its the law to report every transaction. Is there any way for the IRS to verify all the transactions you made? I'm comfortable with not getting fucked by the IRS
Mason Morris
Isn’t that crazy? They literally did nothing for it, the projects are not based out of the US, the exchanges are not based out of the US, but you have to pay them $20 for every $100. It’s like the mafia.