Crypto taxes - Please Read
This is an addendum to @907ok420 original post. I've actually been freaking out about this the past few hours.
Yes I assume a good chunk of us here have cashed out or converted our crypto. That being said, if its even $1, you have to report it and pay potential taxes. Total fucking bullshit. So let me repeat......even if you never cashed out, but you simply converted crypto....you have to report this. I was really under the impression that you didn't have to do anything if the broker didn't file a 1099 or the gains were trivial....like below $600.
Luckily, Coinbase has the information that you need for the capital gains/losses under the tax section. I hope CoinMamma and Cashapp will have similar reports that can be downloaded.
Now here is the better part. I plugged the .csv file from Coinbase into TurboTax and it takes care of it all. It says the file is specifically for TurboTax. I was using TaxAct for the longest time but I couldn't figure out how to input the info. So if you haven't done your taxes yet and you need to report your crypto....just use TurboTax.
Fuck the IRS for making this so difficult for us.
Comments
"Tax filers must answer a question on Form 1040 asking if they had any type of transaction related to a virtual currency during the year. Crypto exchanges are required to file a 1099-K for clients who have more than 200 transactions and more than $20,000 in trading during the year." https://www.fool.com/investing/stock-market/market-sectors/financials/cryptocurrency-stocks/crypto-taxes/
Talk to a tax account.
@antfuzz why would you speak to a tax advisor when you can look at the IRS's own rules for free? They're going to tell you the same thing I told you.
The exchange only files a 1099 when it hits a certain threshold. Just because it wasn't filed doesn't mean you're not required to report it.
From 2020
A5. No. If your only transactions involving virtual currency during 2020 were purchases of virtual currency with real currency, you are not required to answer yes to the Form 1040 question.
If you transfer from wallet to wallet that are anonymous and claim that the wallet is yours....
Do you even crime, bro? 😃
😂😂😂
All i did was sell my leftover bitcoins change back and put whatever was left back into my bank. When you send the amount i always go few bucks over to cover the priority transaction. What evers left i sold back to covert to cash.
i just said no..
@jenbar420 nice dogs
@leaf , @907ak420 your dogs look awfully similar...
@Fallguy lmao they do!
Well we're not filing so they won't trace you back from us. ;-)
Gd 1 @medman
I keep reading how backed up the IRS is. We're small potatoes. I just said no