/biz/ - Business & Finance

>exchange

Fuck off newfag

they send you a slip of information at the end of the year

>>28127958
I'll give you a hint Anon

DeFi / DEX
almost impossible to tax

>>28128179
wallet, my bad

>>28128336
dont cash out, dont trade into cash, if you have big money use multiple adresses, buy / sell in different exchanges if you do cash out in a stablecoin

>>28128458
but if you're an american you're probably fucked either way
GL

>>28128560
>>28128458
>>28128336
thanks anon, will probably move to puerto rico or some shit

>>28127958
Dude, just stop being poor. Once you made it, hire a good accountant that can find some loopholes or whatever, get some offshore bank accounts or the like.
Of course that doesn't pay off when you just want to cash out a few thousand bucks. In which case you maybe should just get a crypto debit card and use that.

newfaaAAAAAAAAAAAAAAAAAAAAAAAAAAAggg

What about not cashing out at all and just spending crypto using a crypto debit card?

>>28128798
WTF THAT'S A REAL THING?
pls spoonfeed me, I'm on Binance EU

>>28127958
According to the IRS you have to calculate for gains/loss for every single trade you do in a year :)

Just don't use Goybase
If the exchange doesn't report anything to the IRS, you don't have to report it (well you do but they'll never know)

Am I OK as long as all my holdings are kept outside of an exchange?

For example:

- deposit fiat into CEX (coinbase)
- Buy ethereum
- transfer out of coinbase
- do any swaps / trades / etc with that wallet
- never send back into coinbase.

Is that safe?

>>28129129
good thing I only lose

>>28128763
PR has extradition with the US. Go somewhere that the gay american empire can't get you.

>>28128946
crypto debit cards are much easier to get in the EU. You don't need a spoon, look it up.

>>28129278
I believe so, just do all the transfers in non-KYC exchanges. VPNs may help you sleep better but never swap currencies or cash out in shit like coinbase unless you want to pay taxes. By the time the IRS gets there shit together, I don't think you can operate the way you are right now.

>>28128763
Cash out in New Hampshire

>>28127958
If you keep your coins in wallet/exchange you dont pay taxes, this is considered unrealized gains. Once you cash out you have two possibilities..

1. If you cash out after holding for less than 1 yr, the profit = value - principal (if positive) is considered income and you add it to your base wages before deductions. if you cash out a loss, then you can deduct this from your income.

2. If you hold the investment for over a year before cashing out, your profit is subject to capital gains tax which I guess is less than income tax, so GG.

https://www.investopedia.com/terms/c/capital_gains_tax.asp

>>28130045
Wat? Redpill me pls

>>28127958
> not worry about taxes until you cash out
That's not how it works goyim
> trading from crypto to crypto is a taxable event
> gib me 40%

Fidelity sends me a form which I send to Northern Trust and my tax person figures it out what I owe and takes care of it.

>>28130822
27% in my country

>>28130822
so would I get taxed for liquifying my assets just to pay for the crypto tax on top of the crypto trade tax?

>>28130822
is wrong
>>28131133
the government cant legally do this since you dont pay cash for swaps, unless they want to get paid in RBC or some shit lmao

will my bank rat me out if they see a sepa transfer from binance?

>>28130453
>>28131222
Thanks anon

wish more places would accept crypto directly so i would not have to worry about this shit