On this note of trasferring between your own, does "buying" an Amazon gift card count as taxable? I'm inclined to say no I mean if I buy a gift card at a store, although it's possible they charge tax right then and there and you're not aware of it.

Yeah so I worked out some math, confusing the fees/not matching values I didn't make $10.00 lol, maybe $3.00 or less/around here, so far until the price drops. I don't really understand what I'm doing and I'm poor so I probably should not be "gambling" with bitcoin. Though I only spend 5% of my income on it at this time.

This same amount I could invest into more servers and what not (for web dev) but I don't know.

Thanks

It's the income generating part.

I don't want to get into the possibly of laundering through bitcoin if that is a thing, but it's explaining how you suddenly have a lot of money.

But alright, so I'm good on the taxes I guess.

Like I said my "gains" are a pittance but it's cool to be gaining some for now, hopefully I can get to the point of having tangible returns. It was cool that the Copay app has a link to buy an Amazon giftcard. Interesting idea.

edit: Actually I'm not sure that I made money, I mean while the value is currently up $12+ ~1,190.00 I currently own less than $90.00... no maybe I did like $5.00

Anyway pretty cool I guess, it's like some kind of investing, now to gather data and see if that helps at all

I should have mentioned I'm in the US. I was reading a wikipedia page on Bitcoin Taxes and it mentioned "currency-holdings" or something. Also mentioned depends what state you're in. Yeah I'm just buying/reselling.

I was curious about those fees. I saw for example in the Copay Android app you can choose what processing fee, looks like a rate thing but it's tied to the fee. I wonder if that is part of what Coinbase deals with when you are charged for buying, I think for sending as well (to wallet).

Interesting stuff though. Thanks

edit: It's kind of confusing like I don't even understand what I'm doing it seems to make sense.

So say I bought 90 "units" and I gained 10 units, I transfer those 10 units to a wallet, I still have the original 90 units in my Coinbase. But if prices go down and say between the two I now have 80 units, say 72 in Coinbase and 8 in wallet... it's like did I actually gain something? I'm just portioning part of what I own? It's weird, I guess the only way to get a "tangible return" is to buy some physical good when the price is up, at least when the price goes down, you don't lose that physical good or possibly other currency like the more stable FDIC-backed Fiat. Yeah gotta read more.

I'm not sure if what I'm doing is trading?

I've started buying small amounts of bitcoin through Coinbase and I"m just doing something simple like when my balance is more than what I purchased (bitcoin has gone up) I subtract what I'm over and send it over to a wallet.

I don't know if that makes sense regarding depreciation/value...

But that money I Just "made" what is that considered as for taxes? I don't know part of it too it's like "bitcoin can be not traceable" haha but I'm buying bitcoin through coinbase I have a trail and have no reason to use it anonymously so, I'm wondering how to deal with taxes. I doubt I'll make much either but I'm going to put some time in on writing scripts to grab data from random sites and maybe that will help me with figuring out when to pull out money/buy more.

So... what about taxes?

Thanks for any help.