Re:Things cryptocurrency enthusiasts probably won't tell you
by JumpCrisscross on Saturday September 23, 2017 @09:45AM
(#15319687)
> It is not; you only have a tax liability when you cash out, not when you hold
It depends [1]. If you receive the Bitcoins for goods or services, they are taxed as income. If you hold them as capital assets, the IRS won't tax you for holding, though your state or local jurisdiction may. Either way, not reporting those holdings is tax fraud.
It depends [1]. If you receive the Bitcoins for goods or services, they are taxed as income. If you hold them as capital assets, the IRS won't tax you for holding, though your state or local jurisdiction may. Either way, not reporting those holdings is tax fraud.
[1] https://turbotax.intuit.com/tax-tools/tax-tips/Taxes-101/Tax...
Disclaimer: I am not a lawyer nor a CPA. This is not legal nor tax advice.