This fucking namdy pamdy kindergarten country just cucked us Amerifags boiz.
Under new section 1031 stipulations cryptocurrency can now be taxed when exchanging between coins.
The new tax bill changes the classification to "real-property" only. Meaning only real estate can now be exchanged tax free where a profit occurred.
If you're still too stupid too understand how this affects you, it means if you're an Amerifag and trade ETH for BTC on a bump to buy in on the coming dip, you get taxed on that exchange if you technically made profit from it.
Hodl or pay Ceasar his dues.
Also it's still unclear if the first in first out tax loop hole remains. Essentially you could offset taxes on profits when selling assets by designating which asset your selling to minimize tax liability. So you buy BTC at $1.00 then another at $5,000. At 17K you decide to sell one BTC. You could designate the BTC you bought at 5K to be taxed rather than the $1.00 one thus only owning taxes on 12K rather than 16,999.00. The Senate version of the bill requires you to sell the one you bought at $1.00 first, therefore being taxed for 17K in the process.
The new bill is expected to pass next week. So unless someone challenges this soeciffically for cryptos in court then Americans get shafted hard in the crypto market.
Libs are normies. Normies havent been around cryptos for a long time. Are you autistic? This would hurt us more down the line since you can't fucking cash out unless you wamt Uncle Sam to give you a good dicking.
Asher Morgan
... Fucking dumbass they're coming for your portfolio too.
Unless you're not American, then congrats user.
Elijah Kelly
Pay your taxes citizens - we are watching.
Christian Collins
I mostly come to Veeky Forums just to be reminded how fucking retarded Americans are. Thanks for this thread.
Christian Phillips
OP here, you're welcome, at least someone day is made better by our colossal shit brained government.
You take what you can get I suppose.
Adrian Butler
Post yfw you realized exchanges are now US government honeypots
Carson Lopez
>implying Trump even knows what bitcoin is Dems are repubs are the same garbage, the capitol hill needs to be firebombed.
Daniel Cooper
How would this be any different from pre-existing capital gains tax?
David Price
It's not.
More reason to own Monero to avoid taxes.
Michael Diaz
LIFO is the superior tax avoidance strategy and if they mandate FIFO....
Look up 'LIFO layers'
Joseph Robinson
Own Monero and go directly to Jail without any trial fucking Terrorist.
Eli Torres
You fags really don't get, the sum of your realized profit is equivalent to your cash out profit *anyway*, observe: (imagine the tax rate is 10% for ease):
>Put 5k in to buy 1 BTC @ 5k >Trade BTC for BCASH @ 0.1 > Trade BCASH for BTC @ 0.5 >Now have 5 BTC >Cash out 100K when BTC @ 20k >Pay 9.5k in taxes
VERSION 2:
>Put 5k in to buy BTC @5k >Sell BTC @ 100k >Pay 9.5k in taxes
It doesn't matter whether your total profit came from HODL'ing one coin, or trading, your net profit will always be the sum of every trade you made when you cashed out.
Nicholas Jenkins
Real shit
Eli Rivera
What if you gain on some trades and lose on others? Surely they can't just tax the gains. You could end up owing more in taxes than you made. Or imagine you trade the portfolio to 1 million dollars and the market crashes. You still owe taxes on 7 figures?
David Walker
Uhhh... No
Capital gains tax works in two different ways. Hodl less than a year and it is subject to normal income tax. Meaning you cash out at 6 months for 2k, that 2k is taxed same as if you made 2k from your wageslaving.
Cash out after 1 year, max 20%. So hodl amirite?
K good,
New tax law means technically. You buy 1 ETH for $500, moons to $1000.00. Exchange for BTC 3 days after purchase,(which we will say hypothetically hasn't moved) under new 1031 you get taxed as if that $500.00 bump in ETH is added to your income from wageslaving even though you didn't cash out
Parker Barnes
You can deduct losses from investments.
Cooper Young
>only real estate can now be exchanged tax free
There's the new loop hole. 1. Buy property 2. Leave private keys on property 3. Note this fact on the sale documents 4. Property sells for value of private keys instead of land 5. Profit!
Camden Jones
Yeah but only $3000.
Jack Lewis
An autistic and wealthy Veeky Forumsnessmam should just challenge the crypto part in court.
Matthew Diaz
Poor Amerifats Decentralized exchanges will boom if this gets passed
>Also it's still unclear if the first in first out tax loop hole remains. Essentially you could offset taxes on profits when selling assets by designating which asset your selling to minimize tax liability. So you buy BTC at $1.00 then another at $5,000. At 17K you decide to sell one BTC. You could designate the BTC you bought at 5K to be taxed rather than the $1.00 one thus only owning taxes on 12K rather than 16,999.00. That's false, you have to do First in First out
Cameron Miller
So what difference does any of this make? If I bought a bitcoin for $1 and cashed it out for $100000, I owe taxes on $99000. If I trade $1 to $100000 with a bunch of trades everyday, I'll still pay about the same in taxes. What's the problem here if they pull it off the front or the back?
Isaiah Ross
There is no problem these people are retarded
Carson Williams
All parties necessary to litigate this stuff are literally too ignorant of each other's professions and/or fields to be able to litigate this. And the judges who sit in the federal courts will just glaze over when trying to explain anything, and if it is decided by jury in some way they're definitely too retarded to make any desicions about this, you don't want a jury to decide anything.
And this is a provision that's not going to go away. Both parties will leave it in because Republicans need to pay their Masters and Democrats will call it a tax on the wealthy.
Saving money is pointless at these interest rates. You're going to need a mill plus just live at a basic level in retirement if you're under 40, if inflation doesn't bleed your ass dry. Now they take cryptos from us... Literally only long term investing at 1% gains or real estate are our options now.
I'm finding it really hard to remain patriotic these days. Just made enough this morning to make a mortgage payment. And now they'll take that away...
Man, just fuck this country. Sorry for the rant but this shit has me down user.
