Selling Ethereum

[masterrex]

If I invested 30k in Ethereum and when my investment goes up to 60k, and I sell 30k just to get my initial investment back, will I be taxed on that? I live in the United States and just bought Ethereum this year.

Actually, it brings more confusion to many users, it seems that the guidelines are not that clear enough to simplify the message to many US citizens that are crypto users or crypto investors, I guess you need help from a professional or expert on that IRS matters it seems that most of the suggestion here is just base on a personal opinion since you are a US citizen that's why you should seek also the help from a US citizen that was knowledgeable regarding that matter. 

[Godwinpaul]

To be on the safe side, it's best to contact an accountant or tax consultant to assist you in the tax computation. The issue at hand is way more than what most persons on the forum could render quality advise on. United States government are already gaining from the cryptocurrency industry while Chinese government is busy imposing restrictions and ban.

[semobo]

From what I have experienced so far, I have never been required to pay taxes on my crypto profits, it's just that there are fees that must be paid in every transaction I make. I'm also looking for regulations that say there is a tax on crypto income until now I haven't found it, but if there was, I as a tax-compliant person would still pay it.

OP mentioned that he was from US where cryptos are regulated and being taxed for every conversion even for crypto to crypto they need track records.

[iTradeChips]

I guess it will not be long when other countries including mine will tax those who are earning in Cryptocurrency. I guess everything is being taxed nowadays and the U.S. might be the first country to do that (sorry I am not from the US so I am ignorant who first taxed their citizens that got a profit engaging in cryptocurrency). Personally I don't want to be taxed not because I hate the government or anything but rather this property is in the realm of digital space. No laws exist yet in our country engaging in digital assets and properties.

[so98nn]

I think op is asking whether he would be taxed on the principal amount or not? Most of the peeps are suggesting he should have hired an accountant but the fact is OP wants an answer whether he will be taxed for the same or not. The simple answer is no to this. Since you are just taking out the principal amount without stating the profits on the same you won’t be taxed. Because in the accounts that would be just 30k deposit and 30k return without any gains on the initial capital.
However, any amount credited to your account after this will be calculated as income source. So yeah the later one will be taxed for sure.

[matico]

I will advice never to sell your position.  If you got in lower then you will not be afraid of downturn in price.  I have sold ether at  $200, $400 and $900! I never saw that ether could sell for $4000 someday.  Alas! It happens just a month and you can imagine my anguish!

[fahmimajannat]

YOU should better to hold.
Because it has a grrat potential to reach 10k mark.
So hold if you can untill atleast it cross 5k.
Holding is a great thing. Cause it makes u rich not instant poor.

[Lantind]

YOU should better to hold.
Because it has a grrat potential to reach 10k mark.
So hold if you can untill atleast it cross 5k.
Holding is a great thing. Cause it makes u rich not instant poor.

If what is holding is a coin that is clear and has potential and the market conditions can always be good, then obviously you will be rich, but if what you are holding is junk coins or shitcoin, then don't expect to be rich in any term.

[capcaypro]

I don't know how about taxation in the USA but for sure you are very fortunate with this, because you can already take the initial capital from what you invest.
I'm happy to read this and I will use it as my reference in trading here because honestly I can use this as my motivation in trading in altcoin

[Lantind]

I don't know how about taxation in the USA but for sure you are very fortunate with this, because you can already take the initial capital from what you invest.
I'm happy to read this and I will use it as my reference in trading here because honestly I can use this as my motivation in trading in altcoin

Yes, taking motivation from other people's words should be, if those words are good, you should also know about taxation because every country that applies taxes is also for the good of its own citizens, so don't just take motivation, but also take knowledge about others here.

[Alert31]

So in the US every capital gain will be deducted to tax now ? Where did they know if this guy already get a capital gain ? He said that he only withraw it for $30k. Is the us base exchange track every user transaction at what price they bought ? And if this guy does not report to IRS wwhat happen ? And how much the penalty ? In my country there is no tax for crypto.

So, it means the anonymity of every person using or investing in crypto already gone. I don't understand, how they can get tax from a person who invest in crypto? I think through an exchange, if they withdraw, it will be trace automatically and tax will be deducted. In my country, there is also no tax for crypto.

[manok jepang]

I don't think this is the right time to sell your ETH, but holding or buying is a very good decision right now, because the price of the eth is dropping drastically, I am sure that in the next few months etherem will rise again and be able to touch its new ATH, hopefully  you are not wrong in making decisions,,,,,

[CaptainCrapper]

If I invested 30k in Ethereum and when my investment goes up to 60k, and I sell 30k just to get my initial investment back, will I be taxed on that? I live in the United States and just bought Ethereum this year.

Very good decision.when I see my capital is 2x or 3x profit from main capital then I take a decision to withdraw my main capital and it's a good idea for any new trader.cuse trade is always risk so after withdraw main capital any body can trade risk free.

[harapan]

If I invested 30k in Ethereum and when my investment goes up to 60k, and I sell 30k just to get my initial investment back, will I be taxed on that? I live in the United States and just bought Ethereum this year.

I think you will be taxed on the profit you made with your eth bag, although I'm not from the United States (US) like you, but have heard of several news about your government imposing a compulsory tax on all crypto returns, so there's a high chance you'll be taxed  when you decide to cash out your profit to fiat.

slap your self if you are selling eth below 10k, not financial advice

I'm not sure we are going to see it at $10k soon, so it's better he locked in on the profit he has made already, the market won't be bullish forever just so you know.

[Ziskinberg]

If I invested 30k in Ethereum and when my investment goes up to 60k, and I sell 30k just to get my initial investment back, will I be taxed on that? I live in the United States and just bought Ethereum this year.

I secure my capital and enjoy the rest, that is my plan and that could be a sort of limitation. As it guarantees nothing in here, we have to be smart and take the opportunity while still there. May other people keep saying HOLD, well, I don't think so. I'm making myself secured because as these people get wrong their prediction, they won't help you instead, right?

So I suggest to you is to do what you think is right, sell the half and secure your capital is a good idea. Don't listen to those you say just hold, they just want you to miss the opportunity and mess you up.

BTW, I'm not sure with the tax as in our country, it just free and we can move it instantly.

[ivankoh]

If I invested 30k in Ethereum and when my investment goes up to 60k, and I sell 30k just to get my initial investment back, will I be taxed on that? I live in the United States and just bought Ethereum this year.

I don't think the USA will have such rudimentary tax management measures.  Joe Biden is a tax expert.  You will be choked if you ask about tax issues here.  Better do the measures yourself and find out, I mean, everything it is sensibility!!!
If you try too hard to play with taxes, your Social Security will be hard.

[Shasha80]

I don't think this is the right time to sell your ETH, but holding or buying is a very good decision right now, because the price of the eth is dropping drastically, I am sure that in the next few months etherem will rise again and be able to touch its new ATH, hopefully  you are not wrong in making decisions,,,,,

Now Ethereum price has dropped 39% from the ATH price reached 20 days ago, so based on that data means Ethereum is down very far right now.
Not a good decision to sell the Ethereum we have today, what needs to be done is not selling Ethereum but buying Ethereum which is what must be
done now. After all, Ethereum is one of the most popular and best altcoins in the crypto world. So it's a good decision to buy Ethereum at a low price
like it is now, because surely Ethereum will recover soon and can provide big profits. Or if we really don't have the money to buy Ethereum,
at least keep holding the Ethereum that we have today.

[tabas]

From what I have experienced so far, I have never been required to pay taxes on my crypto profits, it's just that there are fees that must be paid in every transaction I make. I'm also looking for regulations that say there is a tax on crypto income until now I haven't found it, but if there was, I as a tax-compliant person would still pay it.

It is because probably you're not living in the US. US residents are required to be taxed with each gain that they have in cryptocurrencies. The US government is very strict when it comes to taxation and that's why most of them are very responsible for filing their taxes and gains.

I don't think this is the right time to sell your ETH, but holding or buying is a very good decision right now, because the price of the eth is dropping drastically, I am sure that in the next few months etherem will rise again and be able to touch its new ATH, hopefully  you are not wrong in making decisions,,,,,

It's about his gains and being taxed with his gains. Whether someone has to sell or hold, if they're liking that action they do then that what must they do. It's not about his decision whether he'll hold or sell.

[harapan]

If I invested 30k in Ethereum and when my investment goes up to 60k, and I sell 30k just to get my initial investment back, will I be taxed on that? I live in the United States and just bought Ethereum this year.

No, because there are no tax rules for that, and recently I read that if a YouTube user has a special income, he will be taxed if the user lives outside the Americas, now that's not the case for crypto.

From what I have heard from crypto people in the US, you have to pay for capital tax gains if you purchased crypto and made profits from it then you should really try and get it done as quickly as possible so they don't come to you later on. In other countries filing for capital isn't that necessary or not even required but in US, its mandated. I know there's a way to waiver it or reduce it but I'm not sure how. Maybe someone in crypto based in US can clarify more

[Dadan]

I don't think this is the right time to sell your ETH, but holding or buying is a very good decision right now, because the price of the eth is dropping drastically, I am sure that in the next few months etherem will rise again and be able to touch its new ATH, hopefully  you are not wrong in making decisions,,,,,

I think he is doing goods. I guess he wants to get back his initial investment for safety reason and left the remaining funds to hold or trade it. I think it's a smart choice as ETH are not stable right now.
I do this sometimes when my profit is like x2 or x3. I withdraw my initial investment and left the remaining funds to invest in another altcoin.