News for hackers. Stuff that matters.

A comment on Tom Lee Predicts Cyrptocurrency Market Outflow to Fiat Currency Before Tax Day. Parent comment

Re:Tom Lee Predicts Cyrptocurrency Market Outflow to Fiat Cu... by jandrese on Friday April 06, 2018 @12:29PM (#16774519)
Won't the capital gains only be owned when people try to convert to fiat currency in the first place? If you're leaving your stuff in cryptocoin form I don't think you would pay capital gains.

So this is only a problem for the people cashing out, and if they've cashed out then they should have the cash to cover their tax bill.

And this assumes they didn't cash out to the Cayman Islands account. Probably not a lot of capital gains will be reported to the IRS this year for cryptocoin related profits.

[ Parent | on HN ]
Re:Tom Lee Predicts Cyrptocurrency Market Outflow to Fiat Cu... by lsc on Friday April 06, 2018 @12:47PM (#16774714)
https://www.bizfilings.com/toolkit/research-topics/managing-...

What I'm saying is that trading btc for ltc is barter- and it is taxible.

[ Parent | on HN ]
Re:Tom Lee Predicts Cyrptocurrency Market Outflow to Fiat Cu... by tlarkworthy on Friday April 06, 2018 @12:55PM (#16774799)
Lol this misunderstanding is exactly why everyone will suddenly realize they need liquidity before tax day.
[ Parent | on HN ]
Re:Tom Lee Predicts Cyrptocurrency Market Outflow to Fiat Cu... by lsc on Friday April 06, 2018 @12:59PM (#16774848)
the general rule "If you can afford an accountant, you should probably hire one" applies generally, and keeps you out of a lot of trouble.
[ Parent | on HN ]
Re:Tom Lee Predicts Cyrptocurrency Market Outflow to Fiat Cu... by ska on Friday April 06, 2018 @12:43PM (#16774667)
"If you're leaving your stuff in cryptocoin form I don't think you would pay capital gains."

Note this is only true if you hold onto particular coins. If you exchange some bitcoin for etherium, for example, you will realize capital gains or losses. This has nothing specifically to do with cryptocoins, the same thing would happen to you if you bough silver, say, and then exchanged it for gold.

Your latter point is straightforward tax evasion and will be caught or not in much the same ways as other forms.

[ Parent | on HN ]
Re:Tom Lee Predicts Cyrptocurrency Market Outflow to Fiat Cu... by jandrese on Friday April 06, 2018 @06:59PM (#16778220)
I'm just saying that cryptocoins attract the kind of people who would try to evade taxes.
[ Parent | on HN ]
Re:Tom Lee Predicts Cyrptocurrency Market Outflow to Fiat Cu... by gzu on Friday April 06, 2018 @12:42PM (#16774658)
Crypto gains are taxed on each exchange whether that be btc-eth or btc-fiat or [altcoin]-[altcoin]. That’s what’s so bad because some didn’t withdraw fiat to pay for gains.
[ Parent | on HN ]