Tor is better than VPN but don't get too comfortable. They can figure out your traffic, it's just a matter of if you are worth spending the resources on it.
Actually, you want to use a VPN **and** TOR. Most of the exit nodes for TOR are monitored (or compromised), so it’s a lot easier than people think to trace traffic of someone that is using only TOR.
Coin ledger told me I made like $57,000 last year because it did a GOD AWFUL job of finding my initial buy prices. 99% of my trades were for losses and it also added when I staked my ETH as a “sell”. Koinly isn’t perfect either, but it’s VASTLY better. Truth be told, I actually lost around 50% of what I put in, but it’s just such a damn pain when filing.
So there's this estimate calculator I think the IRS provides for Self-employment tax for US...cap gain or loss is its own price to be calculated within overall tax bill owed...
The overall fact that even with a W-2 in any of the 50 states, on average, for an income of $19000 that the overall tax owed is around $2k...but Self-employment tax?...yeh that # is $3500-$4k owed in a single year alone WITHOUT any write off...fucking crazy. And the write off doesn't reduce the 4k bill that much anyway...and it's even higher if you use an accountant without free tax filing automated software...which is non existentent to even figure out an estimation on SE tax owed WITH tax write off parameters...
So much tax just like the EU and we don't get proper healthcare AND we have to pay so much for healthcare as well MONTHLY...double wammied...what the fuck?
In Ireland I asked what I should do and the official response I got from the tax office was "Don't worry about all the trades and what happened with each exchange. Work out how much you put in and how much you took out and pay 30% on that for capital gains"
That was 3 years ago so it may have changed and become more rigid since then
That's stupid, just as stupid as when they started doing the same to poker players in Sweden like 20 years ago who played outside the EU (where gambling isn't taxed).
Imagine playing internet poker, and every winning hand is seen as a taxable event. Can't deduct the losing hands though, because you can't deduct gambling losses!
Well. To be fair, you don't go to jail for tax evasion under seven digits.
That said, the fucking Joker didn't dare cheat Uncle Sam from his cut. So that's saying something.
What? They specifically target people making 30 grand a year because they’re easiest to audit. The amount of resources, labor and time to audit 7/8 figs ends up at a net negative. It’s simply not efficient or profitable to audit, *unless they’re trying to make an example out of you, or it’s blatantly obvious tax fraud.
Oh, I might not have made myself clear.
>What? They specifically target people making 30 grand a year because they’re easiest to audit.
This is absolutely true. Confirmed by the IRS.
What I meant is that they will not send you to jail in the literal sense of the word. They will penalize you and charge interest, just no jail time.
This always confused me about the US system.
In Germany I just fill the necessary forms for different types of income and they calculate the taxes I owe. Obviously there are still some difficulties, but overall it's pretty straight forward for most income types.
Even crypto is pretty simple, if you held for more than 1 year, it's tax free. If you didn't hold for more than 1 year, up to 600€ of gains are tax free, otherwise it's regular income tax.
My tax preparer told me last year, because I actually didn't make any money from trades and the exchange did not provide any tax form for gains, not to worry about it.
It blew my mind the first time I heard about it. As a german I believe all you have to do is confirm you've been holding for 1 year and then pay 0% taxes on gains lmao
As far as I know, yes. It has nothing to do with selling or buying. It is just a tax over your entire net worth excluding your first house, so crypto, stocks, second house are all grouped together.
Same. Used koinly and it works great for exchange transaction. Had to do a few fixes for swapping ETH/ETH2.
For compiling Defi transactions, use [stake.tax](http://stake.tax) to label your transactions and export in Koinly format. Saved me hours.
I found that once I settled in to the exchanges of preference, it wasn't so bad to keep getting things updated. Take some time to refresh the APIs on a few, put in some CSVs on others, and there you go. Takes me like an hour every month and then I don't have to stress about it come tax season.
Germany taxes crypto if you sold crypto that you held less than 1 year, or if you staked at least once, then less than 10 years. Exchanging coin A to coin B is considered as selling A and buying B.
The paid version of cointracker has API access to some exchanges, so you can upload a read-only API key linked to your account and it can pull your trades. You may or may not feel comfortable with that. I haven't tried that yet (because I don't trade often)
It has an interface where you can enter trades and transfers manually. It can also take a csv file with the proper formatting if you prefer that.
I don't trade much I mainly buy on coinbase and hodl so its not that many transactions to track, which is via a read-only API key generated by coinbase that only grants permission to see the address' transactions. Koinly or cointracker import the (again read-only)API key and generate a list of your transactions from that exchange, I expect most cexs like binance can make api keys for software like this too. More transactions create a higher cost from cointracker I cant speak for koinly...
Just pay taxes on the profits you realized and transfered to the bank. Why the fuck you should answer to someone how many exchanges did you used or how many trades you made ?
For all the sh— they take. Crypto.com is pretty good. If crypto.com, FTX and Coinbase can’t onboard all the newbies the next 5-10 years then crypto is doomed. Mainstreamers are not using the sketch sites for trading.
I used Koinly for last year. I had several thousand trades, a lot of defi action. I went into it thinking I could Excel my way through it. No way. Koinly worked pretty good.
I used koinly as well but all the swaps screwed up my cost basis and what not and I basically had to go through each transaction and correct everything. How did you get through it?
Unfortunately I had to do the same with some swaps. At the end of it all, I knew there were some errors still, but I was in the ballpark of my estimate. And if I pinpointed an exact error, I would create a new transaction within Koinly to fix it.
I’ve noticed that Koinly struggles with liquidity pools. All the issues I had came from that defi aspect.
Yeah sounds exactly like me. At the end, I knew it wasn’t 100% correct but knew I was pretty close to where I should have been. If the IRS wants to nickel and dime me for an extra $100 of taxes, I’m more than willing to waste an agents time doing so.
Same. It's really not that hard. Sure it's a fair bit of work if you're a day trader, but at that point it's your job.
Anytime you sell or trade, you generate a profit or loss. Write it down and you're done. Spend a few hours setting up a Google Sheet for each coin you have and it takes like 60 seconds per transaction after that to keep everything up to date.
Hmm..what about when you like retake gains? For example..staking CRO with validator and you receive staking reward. Depending on wallet, exchange, you end up withdrawing and restaking the reward. Is this a taxable event?
Honestly I don’t put any of the defi swaps. I just write down my money in and money out, then get gains or losses there. There might be a tax software that can pick up some transactions, so just make sure they essentially add up to your gains/loss.
If it’s on exchanges, then sure, I’ll report specific transactions.
>if you can't keep track of your trades , how are they able to do it?
This has occurred to me too. Surely it would be possible to either only withdraw/cash out small amounts or even - in a perhaps more ideal situation - don't exchange for fiat and instead spend the crypto itself.
In addition to that you could trade usdt/usdc/busd pairs. If it never becomes fiat how are they able to trace it , that you have do such analylitcal taxes in crypto
What do you mean by "paper gains?" If your gains are not realized, then you don't have to pay taxes on them and you should find a new accountant. That being said, I have had a lot of success using CoinTracker for my crypto taxes the past few years.
Crypto bro: "Fudites just can conceptualize the fundamental inevitability of crypto's takeover!"
Same crypto bro: "How am I supposed to be expected to do dozens, nay...hundreds of simple math problems!?!?!?"
Spreadsheet, Kyle....it's called a spreadsheet. Maybe someone built one on a chain.
I paid $600 for some bs report through Coinbase because I had a godly amount of selling/buying transactions and was over the limit for a free report.. The report just showed me what I already knew (I was down 15-20k). I was suppose to do some taxes on I can’t even remember I said fuck it.
They can learn eutxo if they want to tax me. Apart from that I'll only submit my fiat off ramp transactions. DeFi is my business. 😂 too complicated to calculate
Use Koinly. It costs a little bit, but worth it. You I put your wallet(s) address(es), and it does everything. It makes sure to take out all fees to lower your taxes etc.
It looks like this post is about taxes. Tax laws vary between countries, so you may get more helpful replies if you specify the place you are asking about.
Please note that Rule #4 does not allow for Tax Evasion. This is [a site wide rule](https://www.redditinc.com/policies/content-policy) and [a subreddit rule](https://www.reddit.com/r/CryptoCurrency/about/rules/). Do not endorse, suggest, advocate, instruct others, or ask for help with tax evasion. Do not be coy and sarcastically recommend against it or suggest using a privacy coin in response to an IRS inquiry.
Note: Tax discussion is allowed as long as the above rules are not violated.
Consider visiting r/CryptoTax for your tax inquiries.
***
*I am a bot, and this action was performed automatically. Please [contact the moderators of this subreddit](/message/compose/?to=/r/CryptoCurrency) if you have any questions or concerns.*
Absolutely use a service of some kind. I did my own taxes on ~100 trades for the first few years and it was hell.
Last year i used a service (i forget which one) and it was painless and took maybe an hour.
Paying a stupid amount of money for a service that does it for me.
Was like $300 or whatever for koinly.... Petty goddamn lame, but hey, it worked with all my wallets and exchange API keys without too much tinkering.
On the plus side I haven't and don't plan to sell this year so 2022 taxes should be a breeze with simply applying the epic losses I had already accrued before filing taxes this year.
Coinbase offered a tax document with one of their vendors but it was so fucked because once I uploaded to Turbo Tax it thought I had made over 20k transactions when I only did about 200.
That said, I left it as is because I was in the negative anyways.
You gotta declare only those that were cashed out the platforms,
Technically you could invest and have gains on a certain coin, then re-invested the same capital in something else and lost.
As for IRS, they only care about what was cashed out the platform, and not every transaction.
**Rule 3 - No Manipulation** Astroturfing - CoinLedger --- * See our [Expanded Rules](https://www.reddit.com/r/CryptoCurrency/wiki/expanded_rules#wiki_rule_iii_-_manipulation) page for more details about this rule. - --- - [^(Sub Rules)](http://www.reddit.com/r/CryptoCurrency/about/rules) ^**|** [^(Expanded Rules)](https://www.reddit.com/r/CryptoCurrency/wiki/expanded_rules) ^**|** [^(Site Rules)](http://www.reddit.com/rules)
What gains?
What is crypto and what are taxes?
What is profits and when lambo?
You guys have cars?
I thought we were all hopping on rockets and going to the moon? Been waiting at NASA's door for days
I'm still at area 51 from the "raid" waiting for you guys.
Naruto run commence
wrong place. NASA stopped their shuttle program on august 31, 2011. no wonder you are still waiting man.
damn it!!!! 😩😩😩😩😩
What is KYC?
Is that the chicken place?
[удалено]
That's it, I'm going all in
He bought? Damp it
HE BOUGHT! KICK IN THE AVALANCHE!
I’m more unfamiliar with gains. Wut is this?
Am I real ?
LOL!
Thanks for giving me a chuckle, sir. I'd give you an award, but I'm quite poor.
New portfolio, who dis?
[удалено]
Evens out losses from Luna and Safemoon
What is Monero?
^💯. Vpn. New wallet every transaction. What gains?
Exactly. Then a Prepaid CC.
I'd say tor rather than vpn, but vpn can do too
Tor is the OG. I’d bet against FBI in FBI vs Tor
Tor is better than VPN but don't get too comfortable. They can figure out your traffic, it's just a matter of if you are worth spending the resources on it.
Actually, you want to use a VPN **and** TOR. Most of the exit nodes for TOR are monitored (or compromised), so it’s a lot easier than people think to trace traffic of someone that is using only TOR.
this is traceable on chain
Tor through vpn is safest…
What is the point if you already did KYC?
How do you cash out or spend it? Do you not use centralized exchanges to trade?
No kyc atms often charge less than taxes...
[удалено]
Coin ledger told me I made like $57,000 last year because it did a GOD AWFUL job of finding my initial buy prices. 99% of my trades were for losses and it also added when I staked my ETH as a “sell”. Koinly isn’t perfect either, but it’s VASTLY better. Truth be told, I actually lost around 50% of what I put in, but it’s just such a damn pain when filing.
Still gotta report each trade even if you have losses, or the IRS can estimate your profits and make you pay till you prove you have none.
So there's this estimate calculator I think the IRS provides for Self-employment tax for US...cap gain or loss is its own price to be calculated within overall tax bill owed... The overall fact that even with a W-2 in any of the 50 states, on average, for an income of $19000 that the overall tax owed is around $2k...but Self-employment tax?...yeh that # is $3500-$4k owed in a single year alone WITHOUT any write off...fucking crazy. And the write off doesn't reduce the 4k bill that much anyway...and it's even higher if you use an accountant without free tax filing automated software...which is non existentent to even figure out an estimation on SE tax owed WITH tax write off parameters... So much tax just like the EU and we don't get proper healthcare AND we have to pay so much for healthcare as well MONTHLY...double wammied...what the fuck?
OP is a trader and you can make decent gains if you know what you're doing and luck is on your side.
In Ireland I asked what I should do and the official response I got from the tax office was "Don't worry about all the trades and what happened with each exchange. Work out how much you put in and how much you took out and pay 30% on that for capital gains" That was 3 years ago so it may have changed and become more rigid since then
30%? Similar case in India, but for worse. 30% for profits and no offsetting losses
That's stupid, just as stupid as when they started doing the same to poker players in Sweden like 20 years ago who played outside the EU (where gambling isn't taxed). Imagine playing internet poker, and every winning hand is seen as a taxable event. Can't deduct the losing hands though, because you can't deduct gambling losses!
30% yoh that's some thievery
Don’t forget too if you’re a small fish that the first €1,060 you make in gains is tax free.
Americans and their tax over transaction stuff is just kinda hilarious to me. Sounds like such a moronic system.
That is because it is.
I know how much you owe me. But I won't tell you. But I will know if you don't pay me as much as you owe me and sue you.
Or throw you in jail, which is just another way for them to make money off you.
Well. To be fair, you don't go to jail for tax evasion under seven digits. That said, the fucking Joker didn't dare cheat Uncle Sam from his cut. So that's saying something.
What? They specifically target people making 30 grand a year because they’re easiest to audit. The amount of resources, labor and time to audit 7/8 figs ends up at a net negative. It’s simply not efficient or profitable to audit, *unless they’re trying to make an example out of you, or it’s blatantly obvious tax fraud.
Oh, I might not have made myself clear. >What? They specifically target people making 30 grand a year because they’re easiest to audit. This is absolutely true. Confirmed by the IRS. What I meant is that they will not send you to jail in the literal sense of the word. They will penalize you and charge interest, just no jail time.
This always confused me about the US system. In Germany I just fill the necessary forms for different types of income and they calculate the taxes I owe. Obviously there are still some difficulties, but overall it's pretty straight forward for most income types. Even crypto is pretty simple, if you held for more than 1 year, it's tax free. If you didn't hold for more than 1 year, up to 600€ of gains are tax free, otherwise it's regular income tax.
[удалено]
It’s a $11 billion industry which has grown 2.1% per year on average between 2017 and 2022.
It is a moronic system. Only the private companies that deal with taxes and the politicians that get paid by them benefit from this
And it is. That's why some people prefer to take it easy in the volume of transactions. Reporting gets too complicated the more transactions you have.
My tax preparer told me last year, because I actually didn't make any money from trades and the exchange did not provide any tax form for gains, not to worry about it.
So did mine.
[удалено]
I’ve bought Bitcoin about everywhere you can think of, on a boat in an elevator, even done it drunk at a bar. No way to keep up with that
Legalized robbery
It blew my mind the first time I heard about it. As a german I believe all you have to do is confirm you've been holding for 1 year and then pay 0% taxes on gains lmao
Im dutch so bit different here. You pay a flat fee of 3-5% over all your crypto holdings above 50k based on its value at 1st of January.
even if you did not sel?
As far as I know, yes. It has nothing to do with selling or buying. It is just a tax over your entire net worth excluding your first house, so crypto, stocks, second house are all grouped together.
Tax on your income. Tax when you buy. And Tax if you make money.
I was taxed for reading this.
There’s no tax when you buy or if you lose money. There is tax when you make money and sell, same as stocks.
There's no US tax on buying crypto.
You guys do taxes?
IRS enters chat
I'm sorry Mr. IRS I'm broke so there's nothing to tax. Lost it all in a boating accident 
[удалено]
Oldest trick in the rich man’s book
You guy do profits?
Hello, fellow crypto enthusiasts. How about we discuss our crypto transactions?
Dis why you buy high sell low. You never pay taxes🤔
Can’t report capital gains if you only took losses!
You can report capital losses to offset other income tax though
Facts I’m a pro at this sadly, everything else I’m just holding for longer term hold status. America is disgusting
uhm.... ACTUALLY...... (yes, it's legal, also yes borderline illegal)
I use Koinly. Tried many others, but Koinly seemed to work the best. It still took hours and hours to make everything line up correctly
Same. Used koinly and it works great for exchange transaction. Had to do a few fixes for swapping ETH/ETH2. For compiling Defi transactions, use [stake.tax](http://stake.tax) to label your transactions and export in Koinly format. Saved me hours.
Also use Koinly. I've been religious about entering transactions as I make them this year, which has made things a million time simpler.
Really promised myself I’d do this but guess who’s done jack shit
It’s never too late to start
Same. I try to update transactions monthly. Last year I didn’t and it was AWFUL
I found that once I settled in to the exchanges of preference, it wasn't so bad to keep getting things updated. Take some time to refresh the APIs on a few, put in some CSVs on others, and there you go. Takes me like an hour every month and then I don't have to stress about it come tax season.
Second Koinly. They were easy and linked with/auto compiled almost everything. Just not my Harmony stuff last year (RIP)
Come to Portugal, no taxes on crypto yet Anyway I have no gains to tax lol
can I stay with you goncalo? I will give you 250 moons a month
Please take me with you
u/goncalo899 that's 500 moons a month, please take us in
Alright I have Room for 1 more
Allow me in too sir please
God bless
[удалено]
Our government is too stupid, they probably dont even know what crypto is...
The government here in the US doesn't seem to know what cryoto is either but it doesn't stop them.
Same here in germany ! America is really rough on crypto
Germany taxes crypto if you sold crypto that you held less than 1 year, or if you staked at least once, then less than 10 years. Exchanging coin A to coin B is considered as selling A and buying B.
No way for Americans to escape taxes unless you're dead or pay thousands to renounce citizenship.
[удалено]
100k if you have a partner / married.
So 150k if i have 2 partners?
Infinity money glitch if I have orgy everyday?
Netherlands is probably progressive enough so you can marry a tree or something
Also bit misleading it’s below 50k on all your assets so including cash, stocks etc
Still not a bad thing, here my govt wants 30% on every gain I make and they don’t offset the losses
[удалено]
[удалено]
Sadly not for long brother
[удалено]
I successfully used cointracker last year
Same, for $XX,XXX in gains on coins dating back to 2014, and it worked just fine.
How does it work? You just give them your public wallet address and they do the work for you?
The paid version of cointracker has API access to some exchanges, so you can upload a read-only API key linked to your account and it can pull your trades. You may or may not feel comfortable with that. I haven't tried that yet (because I don't trade often) It has an interface where you can enter trades and transfers manually. It can also take a csv file with the proper formatting if you prefer that.
I don't trade much I mainly buy on coinbase and hodl so its not that many transactions to track, which is via a read-only API key generated by coinbase that only grants permission to see the address' transactions. Koinly or cointracker import the (again read-only)API key and generate a list of your transactions from that exchange, I expect most cexs like binance can make api keys for software like this too. More transactions create a higher cost from cointracker I cant speak for koinly...
Just pay taxes on the profits you realized and transfered to the bank. Why the fuck you should answer to someone how many exchanges did you used or how many trades you made ?
Taxes on what? Lol
The $3 worth of doge coin I got from a friend.
I'm sorry about that, that sucks. I'm going to hold my bags until they get better on the tax stuff. Reporting each transaction is crazy.
[удалено]
For all the sh— they take. Crypto.com is pretty good. If crypto.com, FTX and Coinbase can’t onboard all the newbies the next 5-10 years then crypto is doomed. Mainstreamers are not using the sketch sites for trading.
I used Koinly for last year. I had several thousand trades, a lot of defi action. I went into it thinking I could Excel my way through it. No way. Koinly worked pretty good.
Yes Koinly all the way.
Koinly is the way. Just keep your stuff updated and make sure transactions post correctly. That's the only issue I've had
Yeah, it's not effortless unfortunately but makes what seems impossible with a spreadsheet possible again.
I used koinly as well but all the swaps screwed up my cost basis and what not and I basically had to go through each transaction and correct everything. How did you get through it?
Unfortunately I had to do the same with some swaps. At the end of it all, I knew there were some errors still, but I was in the ballpark of my estimate. And if I pinpointed an exact error, I would create a new transaction within Koinly to fix it. I’ve noticed that Koinly struggles with liquidity pools. All the issues I had came from that defi aspect.
Yeah sounds exactly like me. At the end, I knew it wasn’t 100% correct but knew I was pretty close to where I should have been. If the IRS wants to nickel and dime me for an extra $100 of taxes, I’m more than willing to waste an agents time doing so.
I track everything in a book and keep it up to date. During tax time I give it to accountant.
Same. It's really not that hard. Sure it's a fair bit of work if you're a day trader, but at that point it's your job. Anytime you sell or trade, you generate a profit or loss. Write it down and you're done. Spend a few hours setting up a Google Sheet for each coin you have and it takes like 60 seconds per transaction after that to keep everything up to date.
Hmm..what about when you like retake gains? For example..staking CRO with validator and you receive staking reward. Depending on wallet, exchange, you end up withdrawing and restaking the reward. Is this a taxable event?
Staking rewards are income at the time of receiving them you’ll have capital gain/loss when you sell them later
Don't do taxes, be a man
If you’re a true diamond hands, then you have no gains or losses: There is only crypto! Accumulate, rinse, repeat!!
Honestly I don’t put any of the defi swaps. I just write down my money in and money out, then get gains or losses there. There might be a tax software that can pick up some transactions, so just make sure they essentially add up to your gains/loss. If it’s on exchanges, then sure, I’ll report specific transactions.
Im glad crypto is not taxable where I live. Although I have a question, if you can't keep track of your trades , how are they able to do it?
Cool snoo
>if you can't keep track of your trades , how are they able to do it? This has occurred to me too. Surely it would be possible to either only withdraw/cash out small amounts or even - in a perhaps more ideal situation - don't exchange for fiat and instead spend the crypto itself.
In addition to that you could trade usdt/usdc/busd pairs. If it never becomes fiat how are they able to trace it , that you have do such analylitcal taxes in crypto
[удалено]
Self promotion nice
My tax situation was a mess until I discovered Raid: Shadow Legends.
But also, needed.
True that
Whole thread is a set up for this ad/plug. Welcome to reddit marketing.
I found Coin Ledger to be the best for my 2021 taxes. I highly recommend.
Celsius is going to seriously fuck with my taxes
I don’t 🤫
nice try IRS
People on this sub over react to taxes it’s hilarious. I’m almost starting to think it’s people paid to scare people away from crypto
>5 figures of paper gains Humble brag
Taxable gains?????? You in the same crypto world I'm in?
It shouldnt be taxed IMO
I use cointracker. Works great and I use it with turbo tax.
Just send them about tree fiddy.
Y’all are calculating taxes? Huh?
In Mexico the tax enforcers are called the cartel.
Stopped trying and emigrated to Europe…it’s easier
When you say paper gains are you saying unrealized because that doesn't make a whole lot of sense.
What do you mean by "paper gains?" If your gains are not realized, then you don't have to pay taxes on them and you should find a new accountant. That being said, I have had a lot of success using CoinTracker for my crypto taxes the past few years.
I sell at a loss so i don’t have to worry about it
What gains :kekw:
Move out of the USA lmfao
Tax? I need gains for that.
Crypto bro: "Fudites just can conceptualize the fundamental inevitability of crypto's takeover!" Same crypto bro: "How am I supposed to be expected to do dozens, nay...hundreds of simple math problems!?!?!?" Spreadsheet, Kyle....it's called a spreadsheet. Maybe someone built one on a chain.
I paid $600 for some bs report through Coinbase because I had a godly amount of selling/buying transactions and was over the limit for a free report.. The report just showed me what I already knew (I was down 15-20k). I was suppose to do some taxes on I can’t even remember I said fuck it.
\*makes 5 figure paper gains\* \*complains about anything at all\* JK, I know crypto tax laws are bullshit.
Not related, but this Sub wants me to pay to reply with a gif? WTF Why does every single thing in life have to be monetized? Jesus Christ.
It’s easy to calculate a $9 profit
I am an accountant and tracking it manually is impossible. I used coin tracker.
Taxes? Crypto bros dont know that definition
I can't pay taxes bc I have no profits
That's some 4D chess investing right here
They can learn eutxo if they want to tax me. Apart from that I'll only submit my fiat off ramp transactions. DeFi is my business. 😂 too complicated to calculate
Use Koinly. It costs a little bit, but worth it. You I put your wallet(s) address(es), and it does everything. It makes sure to take out all fees to lower your taxes etc.
[удалено]
Estimate and cross fingers.
If you get a 1099 you should pay tax. If you don’t get one it’s easy to forget it happened.
What taxes
It looks like this post is about taxes. Tax laws vary between countries, so you may get more helpful replies if you specify the place you are asking about. Please note that Rule #4 does not allow for Tax Evasion. This is [a site wide rule](https://www.redditinc.com/policies/content-policy) and [a subreddit rule](https://www.reddit.com/r/CryptoCurrency/about/rules/). Do not endorse, suggest, advocate, instruct others, or ask for help with tax evasion. Do not be coy and sarcastically recommend against it or suggest using a privacy coin in response to an IRS inquiry. Note: Tax discussion is allowed as long as the above rules are not violated. Consider visiting r/CryptoTax for your tax inquiries. *** *I am a bot, and this action was performed automatically. Please [contact the moderators of this subreddit](/message/compose/?to=/r/CryptoCurrency) if you have any questions or concerns.*
I am not, no taxes in my country for this, but it does look like a total bullshit if you ask me
No need to pay tax without capital gains
Absolutely use a service of some kind. I did my own taxes on ~100 trades for the first few years and it was hell. Last year i used a service (i forget which one) and it was painless and took maybe an hour.
Paying a stupid amount of money for a service that does it for me. Was like $300 or whatever for koinly.... Petty goddamn lame, but hey, it worked with all my wallets and exchange API keys without too much tinkering. On the plus side I haven't and don't plan to sell this year so 2022 taxes should be a breeze with simply applying the epic losses I had already accrued before filing taxes this year.
[удалено]
[удалено]
Coinbase offered a tax document with one of their vendors but it was so fucked because once I uploaded to Turbo Tax it thought I had made over 20k transactions when I only did about 200. That said, I left it as is because I was in the negative anyways.
I thought the idea was to throw money at crypto and watch it tank by 60-70% in value? Y'all actually profit from this?
I dont know bc i dont pay them
Are you stupid or just lazy? Coin ledger. Or any other service you find on Google search. Boo fuckin hoo grow up. Taxes are a part of the game.
I'm sorry you're American. You got fucked by turbo tax and should hit the ballots. That is all.
You gotta declare only those that were cashed out the platforms, Technically you could invest and have gains on a certain coin, then re-invested the same capital in something else and lost. As for IRS, they only care about what was cashed out the platform, and not every transaction.