16 Comments on San Francisco Bitcoin Meetup – Crypto Taxes
Is there a link to the taxation podcast the presenter was talking about in the beginning?
I put the link above but you will have to copy/paste or type in laura shin unchained tax rules that have crypto users aghast
Bottom line – modernization and automation of taxation is required. The basics are actually pretty simple. Taxable events are actually pretty straight forward, however there is an infinite amount that can occur across thousands of different currencies, exchanges and shapeshifts.
Trading, exchanging, foreign currencies, utility, airdrop, forks … 5 years from now this entire space will be completely different and modernized.
Bits Be Trippin’ absolutely
Bottom line – Taxation is theft, and whether or not you realize it when you bought Bitcoin, you’re challenging the government’s way of collecting revenue through extortion. If somehow ShapeShift implements an automatic tax on every transaction, people will make a new ShapeShift without it. So you can either accept this fact or not, it won’t change a thing but waste people’s time about worrying about taxes that they’ll probably never pay in the crypto space.
Can someone summarize this haha! Do I owe taxes transferring one coin to another to another to another???
Per today’s regulations based on Year 2014 (!) IRS note – yes and that’s the main problem
Technically, yes. Will I do it? No. IDGAF, I’m not paying cap gains unless I cash out to fiat currency (the gov’t won’t know about it anyway, and they’re fortunate I’m even volunteering my cap gains in the first place). “That’s wrong, you need to obey the law!” Screw them, just like with simple pot possession in my state, I don’t obey stupid laws.
Here is the link to the podcast she is talking about. Use copy and paste or go to the website directly. It’s from Laura Shin’s Unchained Podcast this one is a must listen. unchainedpodcast. co /the-tax-rules-that-have-crypto-users-aghast
Thanks for the presentation, Alice!
Unfortunately many questions were hard to hear.
The biggest problem in my mind is not the taxation of trading, but taxation of tokens’ circulation in respective apps and crypto-to-crypto transactions. The 2014 IRS rules making virtual assets equivalent to properties are complete nonsense, it is going to kill the whole huge sector and companies will chose other countries over US. In Alice’s podcast they touched on it and one of her guests did say the right thing: “We really need to make Crypto a new Asset Class”.
I’m really happy to see that some assemblymen in New York (Clyde Vanel) and senators in Wyoming are making very positive moves in this direction offering to make crypto-to-crypto tax exampt. That’s the only way to stay relevant and Blockchain business-and ICO- friendly https://www.trustnodes.com/2018/01/30/us-state-senators-introduce-bill-exempting-tokens-securities-laws
hearing this makes me depressed
11:00 she says the tax system isn’t supposed to change our lifestyle choices or financial decisions due to tax pressure but that’s certainly what it’s doing. A big part of the reason I got into bitcoins in the first place was because I feel over taxed and I want to escape their system. So I just buy and hold bitcoins without trading. The only time I sold was when I panic sold half my bitcoins back in march of 17 due to vinny lingham’s dire pronouncements of doom, predicting 400 dollar bitcoins that month. I had to send a hefty capital gains tax payment. Hopefully I’ll get some of that back when I file. Anyway from then on I refused to sell bitcoins. When I do sell it will be after I’m retired in a nice low cost country and the bitcoins I cash in for my living expenses will be so low that I’ll fall below the point where I have to pay a meaningful amount of tax. This is what happens when the feds abuse the slaves too severely in taxes, we start ramping down our incomes (I never work overtime these days) and spend less.
I’m so irritated by the way my tax money is spent that I cut my spending to the bone. I drive old beater cars that I fix myself, cook most of my own meals, buy my cell phones outright and bought my cell service after market. I squeeze a dollar so tight that I live comfortably on 30% of my take home pay. Most of the rest just goes into bitcoins.
If I could be proud of what my tax money is spent on, things would be different but with all these foreign wars and feminist programs in universities that are designed to brainwash women into hating men, and the fact that I have pretty much zero say in any meaningful state or national decisions, the only power I have left is to withhold my productivity from the system. A good example of this is when bitcoins were at 19 thousand a few weeks back. All my fellow mechanics were urging me to sell my bitcoins and go retire, but that would defeat a big part of the reason I’ve been buying those bitcoins, so I just hold and continue to buy each month. In time I’ll go do the bitcoin retired thing (although I don’t really need my bitcoins to make my retirement plans work), and while I’m living in one of those low cost countries I’ll laugh every time I cash in bitcoins. I’ll keep track and make sure the total is so low that I’m starving the feds. That’s my revenge.
dude i couldnt agree more
There is no way people are going to understand how to report this…lol…need to go back to pay when you cash out..make crypto life possible not just easier….
Are we supposed to pay taxes when trading from one CC to another? Technically, yes. Will I do it? Hell no. IDGAF, I’m not paying tax unless I cash out to fiat currency (the gov’t won’t know about it anyway, and they’re fortunate I’m even volunteering my cap gains in the first place). “That’s wrong, you need to obey the law!” Screw them, just like with simple pot possession in my state being illegal, I don’t obey stupid laws. Either these are securities, as they insist (for regulatory reasons) or they aren’t, the feds need to get their sh*t together.