Bitcoin Forum
September 25, 2022, 04:50:10 PM *
News: Latest Bitcoin Core release: 23.0 [Torrent]
 
   Home   Help Search Login Register More  
Pages: [1]
  Print  
Author Topic: Ok guys, lets say you have $200,000 in BTC...  (Read 1661 times)
ali97hakim (OP)
Newbie
*
Offline Offline

Activity: 43
Merit: 0


View Profile
September 17, 2015, 07:23:35 PM
 #1

OK, lets say you have $200,000 in bitcoin. But you want to convert this bitcoin to cash in a US bank account for spending. You have all this money but you are faced with a major dilemma, the IRS. You can't make any significant purchases (new car, new condo, new house etc.) or they will raise an eyebrow and start asking questions as to where you got the money. You tell them that you have made it LEGALLY online through bitcoin, but you need proof. You explain every detail of how you made this huge amount of bitcoin, but they still don't believe you. Knowing the nature of bitcoin it is difficult to prove to them exactly where this income is coming from. They want records of EVERYTHING.

I have a question for you guys. How would you cash out all this bitcoin? Would you set up  an LLC with a few business bank accounts (Chase, Wells Fargo, PNC, BOA, etc.) and then sell your btc for cash deposits to these accounts on localbitcoins? Would you sell your btc for cash in mail? Would you send to Coin-base and sell your btc for USD bank deposit. Every transaction over $10,000 gets reported to IRS with form 8300. How would you personally cash out all that bitcoin, and be able to use the money freely (By freely I mean without any questions). Not trying to avoid taxes, ha ha.


PS: This is all hypothetical:)....I am just extremely curious, ha ha.
1664124610
Hero Member
*
Offline Offline

Posts: 1664124610

View Profile Personal Message (Offline)

Ignore
1664124610
Reply with quote  #2

1664124610
Report to moderator
1664124610
Hero Member
*
Offline Offline

Posts: 1664124610

View Profile Personal Message (Offline)

Ignore
1664124610
Reply with quote  #2

1664124610
Report to moderator
Advertised sites are not endorsed by the Bitcoin Forum. They may be unsafe, untrustworthy, or illegal in your jurisdiction. Advertise here.
1664124610
Hero Member
*
Offline Offline

Posts: 1664124610

View Profile Personal Message (Offline)

Ignore
1664124610
Reply with quote  #2

1664124610
Report to moderator
Lauda
Legendary
*
Offline Offline

Activity: 2674
Merit: 2932


Terminated.


View Profile WWW
September 17, 2015, 07:30:14 PM
 #2

You're asking us to explain to you have to cash out stolen Bitcoin and not get into trouble. No, I'm not going to tell you this.  If anyone does want to cash out a huge sum, then provide all addresses and transactions (if asked, or get into trouble - your choice). Remember to pay taxes depending where you live. Some countries do not have a tax on Bitcoin, but others do. It is best to consult a expert when dealing with a huge amount of money.


Update:
No, no, no. Not stolen BTC, I said legally made bitcoin and it is a hypothetical question
I didn't expect you to admit it. Who would?

"The Times 03/Jan/2009 Chancellor on brink of second bailout for banks"
😼 Bitcoin Core (onion)
Nobitcoin
Legendary
*
Offline Offline

Activity: 966
Merit: 1000


In holiday we trust


View Profile
September 17, 2015, 07:33:48 PM
 #3

I would open a gambling website and get the coins changed to cash therefore giving a history of your Bitcoin usage.
ali97hakim (OP)
Newbie
*
Offline Offline

Activity: 43
Merit: 0


View Profile
September 17, 2015, 07:34:09 PM
 #4

No, no, no. Not stolen BTC, I said legally made bitcoin and it is a hypothetical question
ali97hakim (OP)
Newbie
*
Offline Offline

Activity: 43
Merit: 0


View Profile
September 17, 2015, 07:42:46 PM
 #5

You're asking us to explain to you have to cash out stolen Bitcoin and not get into trouble. No, I'm not going to tell you this.  If anyone does want to cash out a huge sum, then provide all addresses and transactions (if asked, or get into trouble - your choice). Remember to pay taxes depending where you live. Some countries do not have a tax on Bitcoin, but others do. It is best to consult a expert when dealing with a huge amount of money.


Update:
No, no, no. Not stolen BTC, I said legally made bitcoin and it is a hypothetical question
I didn't expect you to admit it. Who would?

omfg, you actually think I'm being serious Grin Grin  Grin Grin Grin. Dude, I'm just bored and came up with a scenario. Legal or illegal, I wish I had that type of money, ha ha.
DebitMe
Legendary
*
Offline Offline

Activity: 2660
Merit: 1009

Get Paid Crypto To Walk or Drive


View Profile
September 17, 2015, 07:48:03 PM
 #6

If the bitcoin were made legally, then legally you need to pay taxes on them then presto...No problem with the IRS. Not to mention it is pretty easy to show how you made bitcoins and where they came from.  Everything you do is documented in the blockchain and all trading sites let you download your trading history.  Should be extremely easy to show how your bitcoins grew.  Either way, simply pay tax and you have nothing to worry about.

Get paid crypto to walk or drive. Play CoinHuntWorld! Earn Hundreds Monthly!
https://coinhunt.gsc.im/IZIijYr64Q
Foxpup
Legendary
*
Offline Offline

Activity: 3780
Merit: 2507


Vile Vixen and Miss Bitcointalk 2021


View Profile
September 18, 2015, 02:50:14 AM
 #7

You tell them that you have made it LEGALLY online through bitcoin, but you need proof.
No, you don't. You don't need to tell them how you made the money or whether it was legal (which is why you can't get out of filing a tax return by claiming the Fifth Amendment), and the only proof you need is that you possess the money (which isn't hard if it's in your bank account). The IRS couldn't care less where your money came from as long you pay your taxes on it.

Will pretend to do unspeakable things (while actually eating a taco) for bitcoins: 1K6d1EviQKX3SVKjPYmJGyWBb1avbmCFM4
I am not on the scammers' paradise known as Telegram! Do not believe anyone claiming to be me off-forum without a signed message from the above address! Accept no excuses and make no exceptions!
Hugroll
Hero Member
*****
Offline Offline

Activity: 756
Merit: 500


View Profile
September 18, 2015, 11:46:44 AM
 #8

i would just stick with the bitcoin currency, whenever i need to use cash, I'll little amounts at a time. Cheesy
gentlemand
Legendary
*
Offline Offline

Activity: 2590
Merit: 3007


Welt Am Draht


View Profile
September 18, 2015, 08:24:22 PM
 #9

I love the occasional post that pops up here saying they shouldn't have to pay tax because 'it's on the internet' or 'I took a risk on it.' I'm sure that'll reduce a court to silence as the superb level of reasoning sinks in and you're sent on your way with handshakes from all.

I'd just pay the tax and get on with my life. Not very sexy but having my life disrupted is not worth a few thousand dollars.

If it was considerably more then I'd move to Germany so I could cash tax free after a year or so.

 
crazyearner
Legendary
*
Offline Offline

Activity: 1820
Merit: 1001



View Profile
September 19, 2015, 03:57:21 AM
 #10

First of all I wouldn't be advising anywhere if I had 200k worth of bitcoin as that would then make you a target for people to attack your system, snoop out your ip address and details and try attacking and accessing your system. 2nd  If had that sort of coin I would be spreading it across many exchanges buying up all types of crypto and getting a wide spread and volume of cryptos that could have a future and spreading coin and get a much wider gain in return. 3rd I would be trading with it and working from home and working around the globe. Would be a dream to have 200k in crypto so much could be done with such amounts. Even a fraction of that would be nice to handle.

=
  R E B E L L I O U S 
  ▄▀▀▀▀▀▄▄                           ▄▄▀▀▀▀▀▄
▄▀        █▄▄                     ▄▄█        ▀▄
█            █████████████████████            █
█▄          ██       ██ ██       ██          ▄█
█        █            █            █        █
  █    █               █               █    █
   █ ██               █ █               ██ █
    █ █               █ █               █ █
    █ ███▄  █████▄   ██ ██   ▄█████  ▄███ █
    █     ███     █         █     ███     █
     █   █   ▀███ █  █   █  █ ███▀   █   █
     █   █      █ █  █   █  █ █      █   █
     █   █      ██  █     █  ██      █   █
      █  █     ██  █       █  ██     █  █
      █  █    ██  █ ███████ █  ██    █  █
      █ ███   ██  █         █  ██   ███ █
       █   ▀███      █   █      ███▀   █
        █     ██       █       ██     █
         █      █   ▄▄███▄▄   █      █
          ███   ███▀       ▀███   ███
             █████           █████
                  ███████████
  ▄▀▀▀▀▀▄▄                           ▄▄▀▀▀▀▀▄
▄▀        █▄▄                     ▄▄█        ▀▄
█            █████████████████████            █
█▄          ██       ██ ██       ██          ▄█
█        █            █            █        █
  █    █               █               █    █
   █ ██               █ █               ██ █
    █ █               █ █               █ █
    █ ███▄  █████▄   ██ ██   ▄█████  ▄███ █
    █     ███     █         █     ███     █
     █   █   ▀███ █  █   █  █ ███▀   █   █
     █   █      █ █  █   █  █ █      █   █
     █   █      ██  █     █  ██      █   █
      █  █     ██  █       █  ██     █  █
      █  █    ██  █ ███████ █  ██    █  █
      █ ███   ██  █         █  ██   ███ █
       █   ▀███      █   █      ███▀   █
        █     ██       █       ██     █
         █      █   ▄▄███▄▄   █      █
          ███   ███▀       ▀███   ███
             █████           █████
                  ███████████
  R E B E L L I O U S
ashour
Sr. Member
****
Offline Offline

Activity: 490
Merit: 250


View Profile
September 20, 2015, 07:49:10 PM
 #11

I would split that amount into several hundred wallets, then I would sell the bitcoin in small amount like 1-2 bitcoin. The IRS won't care if you convert 1-2 btc into USD.
Pages: [1]
  Print  
 
Jump to:  

Powered by MySQL Powered by PHP Powered by SMF 1.1.19 | SMF © 2006-2009, Simple Machines Valid XHTML 1.0! Valid CSS!