Bitcoin Forum
December 16, 2017, 09:04:52 PM *
News: Latest stable version of Bitcoin Core: 0.15.1  [Torrent].
 
   Home   Help Search Donate Login Register  
Pages: « 1 [2] 3 »  All
  Print  
Author Topic: Some guy made 200 million from ETH  (Read 3374 times)
bestcrypto
Newbie
*
Offline Offline

Activity: 3


View Profile
July 12, 2017, 08:43:30 AM
 #21

Tax and digital currency is not a friend
Advertised sites are not endorsed by the Bitcoin Forum. They may be unsafe, untrustworthy, or illegal in your jurisdiction. Advertise here.
1513458292
Hero Member
*
Offline Offline

Posts: 1513458292

View Profile Personal Message (Offline)

Ignore
1513458292
Reply with quote  #2

1513458292
Report to moderator
1513458292
Hero Member
*
Offline Offline

Posts: 1513458292

View Profile Personal Message (Offline)

Ignore
1513458292
Reply with quote  #2

1513458292
Report to moderator
pey
Full Member
***
Offline Offline

Activity: 224


Market Integration Platform


View Profile
July 12, 2017, 09:31:01 AM
 #22

I think there is no taxes until you sell for money or buy something with ETH.

I don't think the tax people would worry about, because if you cash out too much or buy expensive things avoid taxes would be impossible.

Yes exactly, you can also buy busineses and property with cryptocurrency but I don't know whether it leads to taxes.

maxNIMFA
Full Member
***
Offline Offline

Activity: 140

I'm Nimfamoney Founder & CEO (NIMFA token)


View Profile
July 12, 2017, 10:30:49 AM
 #23

Let's wait when ETH price would make him a billionaire  Tongue
Novun
Full Member
***
Offline Offline

Activity: 145


View Profile
July 12, 2017, 12:03:15 PM
 #24

In a few years, the tax agencies have to realize to reform. Technology seems to progress without them and they are stuck in policy that does not work. They will have to innovate to keep up.
You should just admit your taxes for now. Technology will always outpace any governmental agency.
Just diversify and You will be fine in the eyes of any tax agency.
Spoetnik
Legendary
*
Offline Offline

Activity: 1470


FUD Philanthropist™


View Profile
July 12, 2017, 12:23:49 PM
 #25

http://www.zerohedge.com/news/2017-07-10/one-trader-made-200m-trading-ethereumand-nobody-knows-who-tax

The taxmen are getting nervous with people holding these massive amounts and not being able to tax it.

Well, he didn't sold afaik so it's obvious now he holds less after the crash but he has a fuckton.

Some guy makes a point:

Quote

As he can't prove his entry point, the anti terrorisme act goes in effect, confiscation and guantanamo

Tax evasion as he didn't declare his positions... He's fucked

If you can't prove your entry points and you cash out.. aren't you fucked? They would keep the money and claim it's not clear where you got it from.


If no one knows who he is, why are people assuming he is from USA?

Or if the guy is even real..

FUD first & ask questions later™
The Catcher in the Rye
Member
**
Offline Offline

Activity: 66


View Profile
July 12, 2017, 12:39:03 PM
 #26

Well, his start capital was 55,000,000 USD already Cheesy not very exciting (and yes, he lost -65% already)
iram3130
Legendary
*
Offline Offline

Activity: 952


Super BTCoin


View Profile
July 12, 2017, 12:57:28 PM
 #27

There are many fake news floating around the web like this one but it's still true, anyone will be screwed if you can't pin point the entry. There are some countries which started taxation on Bitcoins but it's still unclear to many.

▄▄▄████████▄▄▄
▄██████████████████▄
▄██████████████████████▄
█████████▀▀▀▀▀▀▀▀▀▀▀▀▀▀▀▀▀
████████▀                  
███████▀  ▄█▀▀▀▀▀██▄  ▀███████
███████  ███ ███ ████  ███████
███████  ███ ▄▄▄▄ ███  ███████
███████  ███ ████ ███  ███████
███████▄  ▀█▄▄▄▄▄▄█▀  ▄███████
                   ▄████████
▄▄▄▄▄▄▄▄▄▄▄▄▄▄▄▄▄█████████
▀██████████████████████▀
▀██████████████████▀
▀▀▀████████▀▀▀
███
███ ██
███ ██
███ ██
███ ██
███ ██
███ ██
███ ██
███ ██
███ ██
███ ██
███ ██
███ ██
███ ██
███ ██
███
...Make Bitcoin Great Again...
◉ PRIVACY   ◉ SCALABILITY   ◉ BIG BLOCK SIZE
   ███
██ ███ ██
██ ███ ██
██ ███ ██
██ ███ ██
██ ███ ██
██ ███ ██
██ ███ ██
██ ███ ██
██ ███ ██
██ ███ ██
██ ███ ██
██ ███ ██
██ ███ ██
██ ███ ██
   ███
① Smart Contracts ③ Lightening Network
② Bigger Block ④  Zero-knowledge proof
   ███
██ ███
██ ███
██ ███
██ ███
██ ███
██ ███
██ ███
██ ███
██ ███
██ ███
██ ███
██ ███
██ ███
██ ███
   ███
Telegram
Facebook
Twitter
Medium
Github
API     
freigeist
Hero Member
*****
Online Online

Activity: 736


View Profile
July 12, 2017, 01:57:15 PM
 #28

Any coin with a blockchain explorer will be easy to show your entry point. You don't even have to prove the actual transaction. Just note that wallet address(es) as yours and you're good. 

In my country the tax agency uses January 1st as the price date. If I hold 20 bitcoin then I only have to say I own $998 x 20 =$19.960 worth of Bitcoin for 2017. 

If Bitcoin suddenly becomes worth ten times as much on January 1st of 2018 then you note you still own those 20 bitcoins, now worth $9.980 =$190.960 and you pay the tax on it. My country's capital gains tax is absurdly low so I pay 1.3% ($248), but even if it were 15% or 20% I'd swallow and pay it, it means all the rest is gravy to do whatever you want with it. 


Hello.
 
I did not get that!
Are they taxing your bitcoins i mean those that you just keep without converting to FIAT
or they are taxing your income (capital gains) only when you convert to FITA i mean the cash that you
receive on your bank account?!

It would be also useful to know which country is that where the tax on  capital gains is so low! Wink



Nebell
Full Member
***
Offline Offline

Activity: 196


View Profile
July 12, 2017, 02:24:14 PM
 #29

Lets hack this adress and share the coins between us.
We will leave him 10.000 coins, that's enough for him.
Decentradical
Sr. Member
****
Offline Offline

Activity: 420


Hoqu.io – Decentralized Affiliate platform


View Profile
July 12, 2017, 02:37:54 PM
 #30

Any coin with a blockchain explorer will be easy to show your entry point. You don't even have to prove the actual transaction. Just note that wallet address(es) as yours and you're good.  

In my country the tax agency uses January 1st as the price date. If I hold 20 bitcoin then I only have to say I own $998 x 20 =$19.960 worth of Bitcoin for 2017.  

If Bitcoin suddenly becomes worth ten times as much on January 1st of 2018 then you note you still own those 20 bitcoins, now worth $9.980 =$190.960 and you pay the tax on it. My country's capital gains tax is absurdly low so I pay 1.3% ($248), but even if it were 15% or 20% I'd swallow and pay it, it means all the rest is gravy to do whatever you want with it.  


Hello.
 
I did not get that!
Are they taxing your bitcoins i mean those that you just keep without converting to FIAT
or they are taxing your income (capital gains) only when you convert to FITA i mean the cash that you
receive on your bank account?!

It would be also useful to know which country is that where the tax on  capital gains is so low! Wink


In most countries Bitcoin is just considered part of your capital. Alongside stock, gold, real estate and what not. Bitcoins aren't taxed separately. In your yearly tax returns there's often an option to check a box that you own this kind of capital. That's enough, unless your capital is worth more than a minimum amount (25k in my country) then you need to specify what your capital consists of.  

You pay capital gains tax over the total sum of your capital. This tax is often a lot lower compared to income tax. If in 2016 your Ethereum was worth a few thousand dollars and in 2017 it's worth a few million dollars, then you pay the capital gains tax over those million dollars and the rest is all for you.    

However, if you didn't own any Ethereum in 2016 and you suddenly own millions worth of it in 2017, then you're going to have to explain where you got them from. If it was purely because of succesful speculation, then it's capital gain, if you got the Ethereum through some other means (like through work) then it's income tax.  

Selling your bitcoin to fiat varies greatly by country. The EU recently ruled that EU countries are not allowed to charge VAT on purchases and sales of cryptocurrencies. So after you paid capital gains of your millions of ETH, the rest is all for you, no more taxation from selling it to fiat.  

Oh and  the country is The Netherlands, 1.3% capital gains is very low and also the reason the Dutch are a major tax haven. There are also countries that don't have capital gains tax at all (Hong Kong, Malaysia, New Zealand) but they're also less secure and less accessible.  

Even 5% or 15% capital gains is quite low compared to any income tax or fines (you may even lose all of it) if it isn't filed properly. I'd much rather pay that than spend a lifetime  hiding my wealth and not being able to use it for stuff like buying actual property. 

.....HOQU....
.MARKETING OF THE FUTURE!.






                                              
       ████████████████████    ██████████████████
    ██████              ██████   ████         █████
   ████   █████████████    ████   ███████████    ████
 ████   ██████      ██████   ████  ████   ██████   ███
████  █████    ████    █████  ████  █████    ████   ███
████  ████   ██████████   ████  █████████████   ███   ███
████  ███  ████     █████  ███  █████     ████  ████  ████
███  ████  ███        ███  ████  ███       ████  ███  ████
███  ████  ███        ███  ████  ███       ████  ███  ████
███  ████  ███        ███  ████  ███       ████  ███  ████
███  ████  ███        ███  ████  ███       ████  ███  ████
███  ████  ███        ███  ████  ███       ████  ███  ████
███  ████  ███        ██████████████       ████  ███  ████
███  ████  ███        ██████████████       ████  ███  ████
███  ████  ███                             ████  ███  ████
███  ████  ███                             ████  ███  ████
███  ████  ███                             ████  ███  ████
███  ████  ███        ██████████████       ████  ███  ████
███  ████  ███        ██████████████       ████  ███  ████
███  ████  ███        ███  ████  ███       ████  ███  ████
███  ████  ███        ███  ████  ███       ████  ███  ████
███  ████  ███        ███  ████  ███       ████  ███  ████
███  ████  ███        ███  ████  ███       ████  ███  ████
███  ████  ███        ███  ████  ███       ████  ███  ████
████  ███  ███████████████  ████  █████████████  ████  ████
 ████  ████   █████████████  ████   ██████████  ████  ████
 ████  █████    █████  ████  █████    ███     ████   ███
  ████   ███████  ████  ████   ███████    ███████  ████
   ████    ███████████  █████    ████████████   █████
    ██████         ████   ██████              █████
       ██████████████████    ████████████████████
           █████████████████     ████████████ 





............................................Decentralized affiliate platform...........................................
▬ ▮ ▮ ▮ ▮ ▬▬▬▬▬▬▬ ▮ ▮ ▮ ▮ ▬▬▬▬▬▬▬ ▮ ▮ ▮ ▮ ▬▬▬▬▬▬▬ ▮ ▮ ▮ ▮ ▬▬▬▬▬▬▬ ▮ ▮ ▮ ▮ ▬▬▬▬▬▬ ▮ ▮ ▮ ▮ ▬▬▬▬▬▬ ▮ ▮ ▮ ▮ ▬▬▬▬▬▬ ▮ ▮ ▮ ▮ ▬
Facebook   Twitter   ANN Thread   White Paper   Telegram   Medium





[
thejaytiesto
Legendary
*
Offline Offline

Activity: 1134



View Profile
July 12, 2017, 03:43:02 PM
 #31

You should be able to prove your entry points although I suppose with Eth it gets harder. I would recommend talking to an accountant ha Also, remember to keep good records because it's easier to keep up with record-keeping practices than it is to make up for a lack of records in your work. Cheers!

So what happens if you trade on Cryptsy, Mintpal, or any other altcoin exchange that is now dead? How do you prove entry records on these altcoins in and out if the exchanges are dead?

Even if you were lucky to save your trades, what does it prove? The addresses could be anything. If there's no way to log in into the account and see that the addresses belong to the exchanges, how do you prove this to the IRS or whatever?

Any coin with a blockchain explorer will be easy to show your entry point. You don't even have to prove the actual transaction. Just note that wallet address(es) as yours and you're good.  

In my country the tax agency uses January 1st as the price date. If I hold 20 bitcoin then I only have to say I own $998 x 20 =$19.960 worth of Bitcoin for 2017.  

If Bitcoin suddenly becomes worth ten times as much on January 1st of 2018 then you note you still own those 20 bitcoins, now worth $9.980 =$190.960 and you pay the tax on it. My country's capital gains tax is absurdly low so I pay 1.3% ($248), but even if it were 15% or 20% I'd swallow and pay it, it means all the rest is gravy to do whatever you want with it.  


Why would you report you have any bitcoin? just wait until you cash out and pay the capital gains tax?


danherbias07
Hero Member
*****
Offline Offline

Activity: 826


Any store can buy, sell, and accept Crypto


View Profile
July 12, 2017, 04:00:51 PM
 #32

A good story indeed.
But is it real?
If it is, he is f*cked. If not, then there is no hurting making a good story for reading.  Grin
Taxes. Whew that is a problem every consumer is stressed about. Why do they have to tax something you own.
With crypto currency I am sure he is trying to avoid that.
To hell with tax which just go to the pockets of the greedy government crocodiles.
And for that large amount I am sure they will do their best to make him pay.  Lips sealed

███████████████████████████████████████████████████████████████████▀███▀████
████████████████████████████████████████████████████████████████████▄▀▄█████
███████████████████████████████████████████████████████████████████▀▄█▄▀████

███▀▀▀▀▀▀▀▀██████▀▀▀████████▀▀▀██▀▀▀███████████▀▀▀██▀▀▀▀▀▀▀▀████████▀▀▀█████
███          ▀███   ████████   ██    ▀█████████   ██           ▀████   █████
███   █████▄   ██   ████████   ██      ▀███████   ██   ██████▄   ███   █████
███   ██████   ██   ████████   ██   █▄   ▀█████   ██   ████████   ██   █████
███   █████▀   ██   ████████   ██   ███▄   ▀███   ██   ████████   ██   █████
███          ▄███   ▀██████▀   ██   █████▄   ▀█   ██   ███████▀   ██   █████
███   ▄▄▄▄▄███████   ▀▀▀▀▀▀   ███   ███████▄      ██   ▀▀▀▀▀▀   ▄███   █████
███   █████████████▄        ▄████   █████████▄    ██        ▄▄▄█████   █████
████████████████████████████████████████████████████████████████████████████
████████████████████████████████████████████████████████████████████████████
██
██
██
██
██
██
██
██
██
██
██
██
██
.Any Store Can Buy, Sell and Accept Cryptocurrency.██
██
██
██
██
██
██
██
██
██
██
██
██
[[[ Whitepaper    Twitter     Facebook]]]
[[[  Telegram      Medium     Youtube ]]]
Decentradical
Sr. Member
****
Offline Offline

Activity: 420


Hoqu.io – Decentralized Affiliate platform


View Profile
July 12, 2017, 04:12:26 PM
 #33

Why would you report you have any bitcoin? just wait until you cash out and pay the capital gains tax?



How would you explain where you got the cash from? If you report it each year then you can prove that it is in fact capital gains.

.....HOQU....
.MARKETING OF THE FUTURE!.






                                              
       ████████████████████    ██████████████████
    ██████              ██████   ████         █████
   ████   █████████████    ████   ███████████    ████
 ████   ██████      ██████   ████  ████   ██████   ███
████  █████    ████    █████  ████  █████    ████   ███
████  ████   ██████████   ████  █████████████   ███   ███
████  ███  ████     █████  ███  █████     ████  ████  ████
███  ████  ███        ███  ████  ███       ████  ███  ████
███  ████  ███        ███  ████  ███       ████  ███  ████
███  ████  ███        ███  ████  ███       ████  ███  ████
███  ████  ███        ███  ████  ███       ████  ███  ████
███  ████  ███        ███  ████  ███       ████  ███  ████
███  ████  ███        ██████████████       ████  ███  ████
███  ████  ███        ██████████████       ████  ███  ████
███  ████  ███                             ████  ███  ████
███  ████  ███                             ████  ███  ████
███  ████  ███                             ████  ███  ████
███  ████  ███        ██████████████       ████  ███  ████
███  ████  ███        ██████████████       ████  ███  ████
███  ████  ███        ███  ████  ███       ████  ███  ████
███  ████  ███        ███  ████  ███       ████  ███  ████
███  ████  ███        ███  ████  ███       ████  ███  ████
███  ████  ███        ███  ████  ███       ████  ███  ████
███  ████  ███        ███  ████  ███       ████  ███  ████
████  ███  ███████████████  ████  █████████████  ████  ████
 ████  ████   █████████████  ████   ██████████  ████  ████
 ████  █████    █████  ████  █████    ███     ████   ███
  ████   ███████  ████  ████   ███████    ███████  ████
   ████    ███████████  █████    ████████████   █████
    ██████         ████   ██████              █████
       ██████████████████    ████████████████████
           █████████████████     ████████████ 





............................................Decentralized affiliate platform...........................................
▬ ▮ ▮ ▮ ▮ ▬▬▬▬▬▬▬ ▮ ▮ ▮ ▮ ▬▬▬▬▬▬▬ ▮ ▮ ▮ ▮ ▬▬▬▬▬▬▬ ▮ ▮ ▮ ▮ ▬▬▬▬▬▬▬ ▮ ▮ ▮ ▮ ▬▬▬▬▬▬ ▮ ▮ ▮ ▮ ▬▬▬▬▬▬ ▮ ▮ ▮ ▮ ▬▬▬▬▬▬ ▮ ▮ ▮ ▮ ▬
Facebook   Twitter   ANN Thread   White Paper   Telegram   Medium





[
jekjekman
Sr. Member
****
Offline Offline

Activity: 378



View Profile
July 12, 2017, 04:29:33 PM
 #34

http://www.zerohedge.com/news/2017-07-10/one-trader-made-200m-trading-ethereumand-nobody-knows-who-tax

The taxmen are getting nervous with people holding these massive amounts and not being able to tax it.

Well, he didn't sold afaik so it's obvious now he holds less after the crash but he has a fuckton.

Some guy makes a point:

Quote

As he can't prove his entry point, the anti terrorisme act goes in effect, confiscation and guantanamo

Tax evasion as he didn't declare his positions... He's fucked

If you can't prove your entry points and you cash out.. aren't you fucked? They would keep the money and claim it's not clear where you got it from.


It is true that to whom he needs to pay but what in the hell he needs to pay somebody though, is it trading crypto currency with an anonymous identity helps you to dodge this tax authorities?

unless he reveals himself/herself in a live T.V show that he deposited $50 million then profited $200, there is no concrete law as of today with this kind of taxing situations I think.

Decentradical
Sr. Member
****
Offline Offline

Activity: 420


Hoqu.io – Decentralized Affiliate platform


View Profile
July 12, 2017, 04:48:55 PM
 #35

Your bank is filing all your bank accounts to the IRS though. They know exactly how much you own. So in order to dodge the tax you'd have to somehow find a way to cash out in either an anonymous account or into cash. Both of which may be more expensive than simply paying the tax.

.....HOQU....
.MARKETING OF THE FUTURE!.






                                              
       ████████████████████    ██████████████████
    ██████              ██████   ████         █████
   ████   █████████████    ████   ███████████    ████
 ████   ██████      ██████   ████  ████   ██████   ███
████  █████    ████    █████  ████  █████    ████   ███
████  ████   ██████████   ████  █████████████   ███   ███
████  ███  ████     █████  ███  █████     ████  ████  ████
███  ████  ███        ███  ████  ███       ████  ███  ████
███  ████  ███        ███  ████  ███       ████  ███  ████
███  ████  ███        ███  ████  ███       ████  ███  ████
███  ████  ███        ███  ████  ███       ████  ███  ████
███  ████  ███        ███  ████  ███       ████  ███  ████
███  ████  ███        ██████████████       ████  ███  ████
███  ████  ███        ██████████████       ████  ███  ████
███  ████  ███                             ████  ███  ████
███  ████  ███                             ████  ███  ████
███  ████  ███                             ████  ███  ████
███  ████  ███        ██████████████       ████  ███  ████
███  ████  ███        ██████████████       ████  ███  ████
███  ████  ███        ███  ████  ███       ████  ███  ████
███  ████  ███        ███  ████  ███       ████  ███  ████
███  ████  ███        ███  ████  ███       ████  ███  ████
███  ████  ███        ███  ████  ███       ████  ███  ████
███  ████  ███        ███  ████  ███       ████  ███  ████
████  ███  ███████████████  ████  █████████████  ████  ████
 ████  ████   █████████████  ████   ██████████  ████  ████
 ████  █████    █████  ████  █████    ███     ████   ███
  ████   ███████  ████  ████   ███████    ███████  ████
   ████    ███████████  █████    ████████████   █████
    ██████         ████   ██████              █████
       ██████████████████    ████████████████████
           █████████████████     ████████████ 





............................................Decentralized affiliate platform...........................................
▬ ▮ ▮ ▮ ▮ ▬▬▬▬▬▬▬ ▮ ▮ ▮ ▮ ▬▬▬▬▬▬▬ ▮ ▮ ▮ ▮ ▬▬▬▬▬▬▬ ▮ ▮ ▮ ▮ ▬▬▬▬▬▬▬ ▮ ▮ ▮ ▮ ▬▬▬▬▬▬ ▮ ▮ ▮ ▮ ▬▬▬▬▬▬ ▮ ▮ ▮ ▮ ▬▬▬▬▬▬ ▮ ▮ ▮ ▮ ▬
Facebook   Twitter   ANN Thread   White Paper   Telegram   Medium





[
infer
Sr. Member
****
Offline Offline

Activity: 274



View Profile
July 12, 2017, 06:27:28 PM
 #36

Only x4 of his capital. I have known that there are many people who can earn a greater amount of bitcoin than this guy. Remember NEM? If he had invested his money in NEM, he would have earned billions of dollars right now


              ▄▄████████████▄▄             
          ▄███▀▀▀░░░░░░░░░░▀▀▀███▄▄         
       ▄██▀▀░░░░░░░░░░░░░░░░░░░░░▀██▄       
     ▄██▀░░░░░░░░░░░░░░░░░░░░░░░░░░▀███     
   ▄██▀░░░░░░░░░░░░░░░▄▄▄▄▄█████████████▄   
  ▄██░░░░░░░░░░░▄▄█████████░░░░░░░░░░░░▀█▌ 
 ▐██░░░░░░░░▄█████▀▀▀▀▀▀▀▀▀████▄░░░░░░░░▀█▌
▐██░░░░░░▄███▀▀███████████████▀▀██▄░░░░░░██▌
████▄░░▄██▀███████▄██████▄████████▀██▄░░░▐██
██░▀████▀██████████████████████████████▄░░██
██░░░▀██▄█████████████████████████▄██▀▀██▄██
██▌░░░░▀███▄████████▀▀▀▀███████▄██▀░░░░░▀███
▐██░░░░░░░▀███▄▄███████████▄▄██▀▀░░░░░░░░██▌
 ▐██░░░░░░░░░░▀▀████████████▀░░░░░░░░░░░▄█▌
  ▀██▄▄▄▄▄▄▄▄▄████████▀▀▀░░░░░░░░░░░░░░▄█▌ 
   ▀███▀▀▀▀▀▀░░░░░░░░░░░░░░░░░░░░░░░░▄██▀   
     ▀██▄░░░░░░░░░░░░░░░░░░░░░░░░░░▄██▀     
       ▀███▄░░░░░░░░░░░░░░░░░░░░▄▄██▀       
          ▀████▄▄░░░░░░░░░░▄▄▄███▀         
              ▀▀▀██████████▀▀▀             

     
                         [ Website ]                     
     
thejaytiesto
Legendary
*
Offline Offline

Activity: 1134



View Profile
July 12, 2017, 06:52:26 PM
 #37

Your bank is filing all your bank accounts to the IRS though. They know exactly how much you own. So in order to dodge the tax you'd have to somehow find a way to cash out in either an anonymous account or into cash. Both of which may be more expensive than simply paying the tax.


Yeah but how are you supposed to report trades that are lost within dead exchanges? a lot of people has this problem, and I never saw a clear answer. Everyone that traded on Mintpal for instance, and lost all their trading history... how do you prove the entry points of these altcoin trades?

Whole thing is a mess.

ArachAttack
Newbie
*
Offline Offline

Activity: 14


View Profile
July 12, 2017, 07:19:12 PM
 #38

You convert FIAT you pay taxes. Holding crypto is not very a thing, you never have your coin on your wallet, you just have the private key wich allows to contral that coins. You lose your wallet/private keys the coins are not deleted, they become out of control.
Spoetnik
Legendary
*
Offline Offline

Activity: 1470


FUD Philanthropist™


View Profile
July 12, 2017, 11:29:09 PM
 #39

You should be able to prove your entry points although I suppose with Eth it gets harder. I would recommend talking to an accountant ha Also, remember to keep good records because it's easier to keep up with record-keeping practices than it is to make up for a lack of records in your work. Cheers!

So what happens if you trade on Cryptsy, Mintpal, or any other altcoin exchange that is now dead? How do you prove entry records on these altcoins in and out if the exchanges are dead?

Even if you were lucky to save your trades, what does it prove? The addresses could be anything. If there's no way to log in into the account and see that the addresses belong to the exchanges, how do you prove this to the IRS or whatever?

Any coin with a blockchain explorer will be easy to show your entry point. You don't even have to prove the actual transaction. Just note that wallet address(es) as yours and you're good.  

In my country the tax agency uses January 1st as the price date. If I hold 20 bitcoin then I only have to say I own $998 x 20 =$19.960 worth of Bitcoin for 2017.  

If Bitcoin suddenly becomes worth ten times as much on January 1st of 2018 then you note you still own those 20 bitcoins, now worth $9.980 =$190.960 and you pay the tax on it. My country's capital gains tax is absurdly low so I pay 1.3% ($248), but even if it were 15% or 20% I'd swallow and pay it, it means all the rest is gravy to do whatever you want with it.  


Why would you report you have any bitcoin? just wait until you cash out and pay the capital gains tax?



See my comments here on AML law.
Then see the status of the lawsuit Coinbase vs the IRS (THEY REQUESTED LOTS OF RECORDS)
If they make you get verified you are watched by the govt's etc.

i told you all here in 2013 regulations were coming.. not long after USA & CAN announced tax laws for crypto coins and later an SEC fraud alert about them too.
Many since joined in.. the basic idea is if you don't claim your Exchange profits you are in violation of tax law and could face severe consequences.
Heard of Al Capone ?
He was considered untouchable.. the IRS took care of that.

I'd rather pick a fight with a Hells Angel in a bar before fucking with the tax man..
And yeah i have too LOL
When the tax man says jump you say how high.

FUD first & ask questions later™
bones
Sr. Member
****
Offline Offline

Activity: 248


View Profile
July 13, 2017, 12:56:44 AM
 #40

That's why anonymous coins suck, you won't ever be able to use them for anything other than petty purchases without triggering large fines.  

If you held 200 million, wouldn't you just gladly pay off the relatively low capital gains tax just to make the entire thing legit? You'd be settled for life.



Relatively low cgt.  Its like 50 percent on that sum.
Pages: « 1 [2] 3 »  All
  Print  
 
Jump to:  

Sponsored by , a Bitcoin-accepting VPN.
Powered by MySQL Powered by PHP Powered by SMF 1.1.19 | SMF © 2006-2009, Simple Machines Valid XHTML 1.0! Valid CSS!