Historically accurate crypto comic

>implying the IRS knows about my XMR hodlings

nice try

Luckily most of the world doesn't have tax regs as disgusting as le 56% republic.

They don't know about your holdings, but they do know what exchanges report to them.

> theverge.com/2017/11/29/16717416/us-coinbase-irs-records
> Coinbase ordered to report 14,355 users to the IRS

In my opinion, you should assume that any information that a crypto exchange has is also available to the IRS. If you traded with 200k USD worth of crypto on an exchange, the IRS will know that at that point you had 200k worth of crypto.

>paying tax
I love Americans thy're so cute omg

not only that but:

>paying crypto tax

Would you take out a $60k loan to buy crypto? Then why would you reinvest taxes due? The only way this could happen to you is if you were a retarded risk taker, its no different then gambling with debt.

>mfw in Germany you can cash out tax free if you hodl for 1 year

Feels good

>paying tax on income

absolute state of /biz

> The only way this could happen to you is if you were a retarded risk taker, its no different then gambling with debt.

In the US even crypto-to-crypto trades are taxable events. In my example the guy never cashed out, so the crypto crash combined with capital gains taxes left him penniless. He can use a tax loss carryforward[1] to offset possible future capital gains with the crypto trading losses.

[1] investopedia.com/terms/t/tax-loss-carryforward.asp

>not putting everything on a Monero wallet and fucking off to South America

>americucks

So if you daytrade your stack to get more you will have to pay taxes?

What's an irs?

Why would you pay taxes to people that own a printing press and print their entire GDP bi-yearly?

Answer that question suffienctly and the tax laws remain. Answer it poorly and 56 million civil servants will be culled.

Yes.
That's why hodling is the smartest thing to do for me.

Did you really do that?

I would expect that the convenience of continuing to live in their home country is worth more than the taxes they would have to pay. In addition, in many cases taxes cannot be legally escaped by moving to a more favorable tax jurisdiction if the gains were realized before moving out.

For example, US citizens have tax liability to the US even if they don't live there anymore. Moreover, there is something called the expatriation tax that applies to people "who have ended their U.S. resident status for federal tax purposes". More information here: cnbc.com/2016/05/17/exposing-the-hidden-tax-costs-of-renouncing-us-citizenship.html

I cant. Im pretty new to crypto and im just trying to learn the laws. I have been laundring some money before

What USA? Doesn't exist except as a virtual world.

Exactly so why worry about it? They going to robodial you like all the other 'collection' agencies? Oooooo...who cares. Just concentrate on the profit taking and ignore the autodialers. There is no government now, or were you pretending they were actually providing any real service given the reality of the current situation?

>cashing almost everything out at 200k
lmao at ur life

They could not even stop the Florida shooter after getting tips and knowing he was going to do it after using his real name and saying he was going to do it in an online forum. You really think they can get you for crypto gains?

>that feel when I put $4k in crypto in April and only had $31k ATH, now about 1/3 of that

Nice try officer.

Fyi, for your next briefing session:

XMR isn't traded via Coinbase. It's mainly via exchanges WELL outside US jurisdiction (or the dark web), and they take great pains to ensure it's all untraceable.

Also, it's little more than a rumor as yet - but Monero and Litecoin might be doing an atomic swaps deal. So no exchange necessary - it's gonna be hilarious to see you guys scrambling to solve that one. We'll have something even nastier by then anyway no doubt. Plus, now that the Dogethereum (such wow!) bridge is in alpha, similar swaps might soon be viable between all major chains. Gg tax departments.

Honestly, I'm not a burger - but I'd suggest throwing in the towel. Just concede defeat, end the drug/finance/everything war, scale everything down, abolish income taxes on the peasants and use a flat tax on the aristocracy to run the now leaner and meaner government.

There is no fucking decent country where you can avoid it retard.
You two must be from fucking Africa or India

You are forgetting that every transaction on the BTC, LTC, ETH blockchain can be traced. So, if you buy 10 ETH on coinbase and transfer it to your super secret exchange to buy XMR, you will have to answer a couple of nasty questions.

The IRS will get the data from coinbase and will know there are 10ETH missing on your tax declaration.

Further, if you want to cash out to fiat, how is the dark web going to help you?

Portugal. Vanuatu. The Netherlands. Lechtenstein. Malta. Switzerland.

I can keep going. All are higher than the US in the important quality of life metrics, amd are a LOT more free. Less mass shootings and psych-drugged retards of course.

Fucking burgers - your country was arguably the "greatest" 50 years ago. Now, like the Soviets were, you're just a crumbling empire that overextended itself on bluster and bullshit.

What is tumbling?

People actually want to live in a nice area, nice house, with nice weather all year. Fuck them right

Portugal -> tax free only if not actively trading. Even this can change anytime
Vanuatu -> yes but you will be stuck on a fucking Island and even then residency is exepnsive af
Netherlands -> only if holding, not trading
Switzerland-> same
Liechtenstein -> no idea, but hard to get residency
Malta -> simply not true, they have not yet decided how to tax it, but it sure as hell aint tax free.

You got any more?

Btw, not a burger but Euro so any real tax free countries that are not impossible to get to are of very high interest to me.
The only one I can think of is UAE, but who tf wants to live there

>hasn't realised you can just trade for cash or other valuable assets face to face.....lol.

Anyway: OP isn't buying the LTC to avoid taxes - he's buying it to trade or hold. That's where he gets the $200k from remember? He didn't put in $200k.

So you see a $10k purchase order. So what? OP transfers to Binance (or atomic swaps to XMR when that becomes a thing) and sends to XMR to a different exchange, taking advantage of ring-signature tech. From there keeps it in foreign exchanges, does whatever he likes.

And who says he needs to cash out? You can buy an awful lot these days using cryptos. Or maybe he suddenly has a very successful dry-cleaning business that produces a convenient amount of profits. Or gets bullion in frigging Belarus. Or uses Localbitcoins. Who gives a shit, laundering was easy enough before this.

You really think it's harder now, without even needing a bank to hold anything? Jeez, the governments of the world can't even stop stoned teenagers getting access to hard drugs ffs. An untraceable, cryptographically secure networks of fungible tokens though - yeah, sure.

You're still thinking in terms of national boundaries, and paperwork meaning much. That's the problem. It's like explaining the concept of air superiority and artillery to a medieval knight.

how many tax agents are there?
how many people using crypto are there?
how many people using crypto dont believe in the legitimacy of the claim of entitlement to said gains?
how many people are convicted, even charged for piracy VS how many people participate?
has there ever been a sale of property purely with BTC? (there has)
do you think this will go away, or that governments made up of people will be able to change a turning tide?

>Thinking the government value life more than money

Yeah fair enough. And how do they know you're trading exactly? And do you think, after explicitly setting themselves up as a tax haven they wouldn't turn a blind eye?

Thankfully my government is not full of greedy goblinos...

The tax problem is only relevant for people with large gains, of which there are not many. It is the banks that cause the problems, since they will report all your deposits to the taxmanbecause of all these fucking bullshit info sharing agreements. Try to open a bank account in another country, they will not let you before you tell them where you are liable for tax and what your tax nr is

They wont know automatically, but they will know about your deposits in bank accounts, so if they decide to take a look the burden of proof is always on you. Fucking G20 and US have bullied all these tax havens to turn over all this info

>Vanuatu
i am heavily looking into opening an account in Vanuatu this year. I am lucky, I have 2 tier A passports. I want become a Non Dom (less than 6 months a year) in the UK, any advise? Thinking about setting up a discord...

How are they going to prove it was you who sent the 10 ETH out and not a hacker who stole your private key?

t. irs

the solution is for whales to fund and sustain marketplaces that facilitate trade / usage of crypto as currencies, as intended. There are already some, and there already have been sales with BTC for property and high value goods. If it never touches fiat, things become a messier. If it becomes the norm, tax law will need to adapt to society.

but you also have to hodl your african bull's hand while he fucks your wife
i'd rather cash out in switzerland

The fuck?
Does this happen?

Couldn't you claim a capital loss to offset your tax? If I buy a house for $100k, and it sells for $80k, that's a capital loss. I can claim a $20k refund on my tax return in my country.

The fuck is America on about man? Australia sucks, but at least the tax man won't literally ruin you and drive you into homelessness.

>t. irs
you burgers, Supposed to be the land of the free....
check out the 'grace commission' find out what happens with that tax money, goy

IRS is like 100x more powerful than the FBI

Dutchfag here, depends on if your trading can be viewed as an interest besides your regular work, or as a full time day job. Not sure how that works on a technical level, but you don't qualify for that right away.

Buying a sick stack of ETH and doing some day trading won't be seen as professional trading.

YOU would have to prove the hacking.

Read your post outloud and realize how retarded you sound

I feel like people here are too scared of the IRS
How realistic is it for them to fuck everyone over for not paying taxes for crypto to crypto?

about as realistic as anti piracy enforcement en masse

The tax period is for the year. Capital loss would occur on the 2018 period. Proper management for taxes is to calculate your tax bracket and take intentional losses to lower into a lower bracket if its close. You liquidate enough to handle your tax obligations in December not April.

>not owning property

AHAHAHAHA

I don’t know your laws but I’m really doubting your get a 20k refund. Maybe 20k of your income wouldn’t be taxed, but why would your gov just give you 20k because you made a bad or poorly timed sale?

>he thinks you can get a house in ca for 200k.
try 750k bub.

this is why people become republican

Who do you think changed the tax laws so that every trade of crypto was a taxable event? This is why people become libertarians. Shame they're headed by meme candidates and run by retards though.

you dont pay back on capital loss nignog

theyre run by controlled op spooks

>Couldn't you claim a capital loss to offset your tax? If I buy a house for $100k, and it sells for $80k, that's a capital loss. I can claim a $20k refund on my tax return in my country.
In America you eat the loss. No refunds! t. Bernie. Yes, the system is set up to give you many chances at homelessness.

>he didn't use a mortgage

Le credit is ebil meme

I need at least a fucking bedroom so I don't have to jerk off in front of my dog