I've lost nearly 75% of the money I've put into cryptocurrency the last few days from day trading. Is the tax per trade concept a meme or will that actually happen? Because if so, I'll be negative by the time I ever decide to cash out, and at this point there's no reason to even fight for the little bit I have left because I have major failed as a person in this corner of the internet. I feel like an asshole and I've been laughing about it but seriously how the hell do you guys do it? Or did I fall for a meme and get what I deserve. I fail miserably and I ask out of pity for some advice because I don't have a job and my life isn't really going anywhere. Wanted to try this for shits and giggles with potential to make some money but I only got shit on and now I'm giggling nonetheless. Help me out bros, I've been justed by my own stupidity and I feel like the tax thing per trade is a meme. Even if it isn't a meme I find it hard to believe my remaining 25% would be raped in the ass for the hundreds of trades I've done to bring it down so low via taxation. I'm a fucking clown, so watch my act and give your two cents (watch out though, I might try and grab a penny) on what I should do.
Advice?
In case you're not trolling, you get to deduct up to 3,000 in losses. Plus if you've been day trading and losing you haven't been making any net profit in the first place. So no, you don't have to pay taxes. Just continue losing more money day trading until you have nothing left for the greater good of the market.
this, yes all trades are taxable so you can claim every single loss you made. go nuts OP.
>Daytrading
Why do you guys insist that you're daytrading? Losing money by buying high and selling low and then putting that money into a new coin and rinse and repeating does NOT mean you daytrade. Come on
user...don't buy all time high. You probably bought in all time high and then got bummed and sold once btc dropped. Research other coins. Plus, you didn't lose anything unless you sold. You could always hold and wait for recovery (it will happen soon don't worry )
i don't understand why people think that taxing each trade means "taxing all your money for each trade". Its only if you make a profit. If you make 10 trades, and make 20% profit off of each trade. That 20% profit is taxable everytime not the full trade amount.
no shit you brainlet
Why call me a brainlet? its everyone else freaking out about it. Maybe get off Veeky Forums for a while and you won't be so butthurt that your dad left you.
I feel you OP. I put in $500 a few days ago and have lost money in everything I've put it in. Pic related.
Thanks and good advice
Okay okay, you're on to something here. What am I then, a bag buyer?
And, you can claim your losses against your profits too.
And, if your losses outweigh your gainz, you can even claim up to $3000 against your normal earned income.
lrn to read
I should call you last-days-of-the-week
‘cause you weekends
You won't have to report anything to taxes. The IRS isn't going after exchanges asking for their user's trade history and even if they did unless you verified your identity on there you should be good. People here tend to exaggerate everything.
You can't claim every loss unless you can prove you are a business and that business is trading
Regular people can only claim up to $3000 on losses from trading
OP here. Am I a retard?
everything u put in was at an all time high... dumb cunt
>losing money in the beginning of the biggest alt boom in history
>this will spring blush
Have you bothered googling? Look at the calendar. It's 2017 and the new crypto taxable event starts in 2018. And even then you won't have to report until April 2019. Calm down friend.
Wtf? So just start a trading business and the government will bail you out? Who wants to start an ico with me?
tax aint shit, I make a living off crypto though so I guess if you only made $1,000 this year paying tax on it is a bitch compared to making tens of thousands
You can net all your losses against all your gains.
You take all your losses gains and pool them into different bits
Short-Term Cap Gains
Short-Term Cap Loss
>under a year holding
Long-Term Cap Gain
Long-Term Cap Loss
Net your short term gains and losses, then net your long term gains and losses.
If you have a net LTCG and net STCL, you can offset your LTCG with the STCL, but not the other way around.
If after that round a netting you have an over all Capital Loss, you can claim 3,000 against your ordinary income, and the remainder of your loss carries over to next year.
Lol kill urself faggot
Lol you will get fucked in the ass for sure sooner or later
I love when I look back and realize I could have just hodled and been way better than where I am
I don't understand the people saying you can only use $3,000 as a capital loss. So you are telling me that hypothetically if I day traded and made $10,000 but then made a stupid trade and lost everything or the coin died or something that I would OWE $7,000 even though I was left with nothing?
yep. it's better to do something else with your life and wait for the gains rather than obsess over crypto charts every day.
Use $3,000 as a loss...against your ORDINARY income
Jesus. You pay taxes on all your income. If you lost money trading Bitcoin you can claim up to 3000$ as a tax credit. You don't pay taxes on a loss. If you can't do taxes you shouldn't trade commodities. Before you buy your next crypto, learn how oil producers hedge oil prices by selling future contracts. This will help you understand how the Bitcoin futures effect pricing of Bitcoin. If no one can sell contracts, it's very bearish for Bitcoin pricing. A normalized market squeezes prices so contracts and real price approach each other as the contracts approach expire date. Most contracts expire third Friday of every month.
Thanks guys. I understand now.
You made hundreds of trades and you are in this position? You are a fucking moron who sucks at life and I hope some really terrible shit happens to you. Why the fuck do all these loser lowlifes keep making threads on here? If you want pity and help go to your family and if you don't have that please just kill yourself
muh dick
No wonder you lost everything.
>bought into the link meme
>bought ethereum at ATH
it'll come back but come on man
Muh "muh" muh ______