The new Tax bill is causing this crash and proves the government is evil

[Anonymous No.5351018]

https://www.ethnews.com/tax-cut-bill-to-require-taxation-of-cryptocurrency-trades-in-us

TL:DR Right now you are being taxed when you convert BTC to Fiat. When Trump, their NWO stooge, signs this new bill during Christmas (they always push these evil bills during Christmas when no one is watching), its going to change for next year.

Instead of being taxed on a conversion to fiat to "cash out" its going to be on a transnational basis. Every time you make a trade and you have a USD gain, you will be taxed. Some say its because its based on stocks. Well this isn't stocks.Let me explain how it doesn't work. Hypothetical situation:

Trader Joe starts off with $1,000. He invests into Shitcoin A, which spectacularly moons and does a x5. He converts to Shitcoin B. $4,000 USD gain - add that to tax notes.

$5k in Shitcoin B, Shitcoin B also moons and does a x2. Convert to Shitcoin C, $5,000 USD gain. Add that to tax notes.

So, $10k in Shitcoin C. Shitcoin C stalls. Trader Joe gets frustrated, and converts to Shitcoin D. It's a loss and he loses $2k, to $8k.

$8k in Shitcoin D. Shitcoin D also does very poorly and has a crash. Shitcoin D tanks to $4k.

$4k in Shitcoin D, Trader Joe gets worried and puts it all into BTC a few days ago. BTC tanks all the way down to $3k.

Tax season. Total USD gains are $5,000 + $4,000 = $9,000. You take 20% = $1,800 in taxes.

Trader Joe ends up paying an additional $1,800 in taxes, nearly erasing all his gains leaving him with $1,200.

Yep, that's right! You will still have to pay taxes, even if you never actually "saw" the gains. Because its on a transactional basis. This tax is retarded and doesnt work because the crypto market moves so fast, and they are not stable assets like stocks. They are only potential gains on paper at the time of writing.

This is how they do it guys, right around Christmas time. This is probably contributing to the crash right now. This tax is wrong, and honestly - you shouldn't pay it.

[Anonymous No.5351148]

Who fucking cares. Cryptocoins are supposed to be the new fiat eventually. If the panic sell is causing only fiat hoarding idiots to get out that's a good thing.

[Anonymous No.5351229]

While you’re partially right, there are also capital losses so your math doesn’t add up there. But then it’s also short term capital gains, so most likely over 20% tax

But yeah it’s fucked. I’m just going to hold for 2018, I’m not paying a cent of taxes til they change a law for cryptos.

[Anonymous No.5351276]

>>5351018

Crypto accountant $1000 / hr

[Anonymous No.5351289]

monero soon
uwu

[Anonymous No.5351341]

>>5351018
>CAPITAL GAINS
>CAPITAL
>GAINS

G-A-I-N-S

[Anonymous No.5351381]

Well... don't be a pussy and convert shitcoins to other shitcoins. Do your research and invest your fiat into long term HODLing coins. Then convert back to fiat & pay taxes.

Problem?

[Anonymous No.5351475]

With this crash, I can probably claim losses.

[Anonymous No.5351541]

>>5351229
You file your own claims, they have to audit you to figure out what those taxes are. Good luck finding the historical data and exact transfer times and wallets, etc... the IRS would be slitting their wrists if they had to start auditing this shit. We'll see what happens. I plan on paying my taxes on this... but the transactional shit is bullshit and it's pretty heavily debatable right now if this guy is right or not.

[Anonymous No.5351602]

>>5351018
ever hear what a capital loss is your retard?

jesus christ

[Anonymous No.5351728]

>>5351541
Thats why you have to keep your records when you sell or its jail time

[Anonymous No.5351774]

>>5351018
Who thought of this nonsense?
I put 10k here. Do what the fuck I want, If I get out all out with gains, I pay 15% on gains, not initial 10k.
If I commit loses, I pay nothing, but have to prove losses and that I'm all out.
You can even get away with only paying 6% on gains, but that's another story I won't share.
You guys are puppets that will eat whatever they spoon feed you.

[Anonymous No.5351933]

>>5351602
"DEFINITION of 'Short-Term Loss' A capital loss realized on the sale or exchange of a capital asset that has been held for exactly one year or less. Net short-term losses are limited to a maximum deduction of $3,000 per year, which can be used against earned or other ordinary income."

Do your research before making a stupid post, "retard"

[Anonymous No.5352057]

What happens if you just hold

Say you have 1000 dollars worth of shitcoin
1 shitcoin = 1000 usd
Lets say after a year it stays at 10k

Are you still going tp get taxed even tho you arent touching it?

[Anonymous No.5352223]

Just ignore these gay laws.