So if I buy 1000$ of btc, exchange it for another crypto, and this crypto turns my total into 10,000$, how much am I going to be taxed?
How the fuck do taxes work
Thomas Taylor
Noah Wilson
you would pay tax on $9000 in short term capital gains if you cash out the $10k
if you had $10k in crypto, you have the usd value of your most recent trade in each cryptocurrency
Nathaniel Perez
What happens if all I have in my back account is simply 10$? Am I going to be forced to cash out to pay off what I owe?
Cameron Reed
Yes.
Parker Roberts
I am a brainlet, so if I never cash out, but it's now equal to 10k, how much will I be paying?
Evan Cox
You have to cash out some or you are going to be boned. Or go for the long hodl.
Wyatt James
What NTR hentai is this?
Luke Carter
so you pay tax on your profit = $9000
If you sell it before 1 year of holding its 50% tax straight up
if you sell after 1 year holding its %25 tax
best just take your initial $1000 out and let it ride
Nicholas Martinez
You are taxed on your realized gains.
1000 appreciates to 1100 and you trade for XLM. You now owe 30 dollars to the kikeRS.
Luke Williams
Gains are not taxed until they are "realized", i.e. you buy/trade something with it.
> So if I buy 1000$ of btc, exchange it for another crypto, and this crypto turns my total into 10,000$, how much am I going to be taxed?
If that's all you do, then nothing.