Bitcoin and Cryptocurrency Thread

[kingv]

So lemme get this right, they're reporting all this shit to the IRS who are going to tally up all those crypto fees and somehow get y for it when they still using old punch card mainframes and have huge logistical issues tracking traditional tax evasion and cgt biz. I'd hazard a guess you'll be fine not reporting it.

What's the downside of simply reporting what you cashed out to fiat and ignoring ur otc transactions? Would bet a lot on IRS having no capacity to track down scrubs such as yourself.

What you said. Im reading the guidance they issued. It assumes to fairmarket value the coin to us dollars at the time of transaction. Different exchanges have different values at any point in time. So an auditor is going to have to determine which exchange to use, use the timestamp to figure out an exchange rate at time x of the transaction. For everyone of your transactions. For that 50 k back tax. This is easily overcome through software... that currently does not exist... plus do they have datasets for every second at every exchange. Its a fools errand until they set up for it. Assuming they have not yet by how tentative they are.

Use to prepare taxes, and the guidance the IRS usually gives is that the methods have to be reasonable. So like, if you always choose the price in the middle of the month, or end of month, or average daily prices on the exchange you use you will be fine, if you are clearly trying to cherry pick the lowest possible price for selling in a month and then the highest possible price for buying, they will ding you.

[Atramental]

Well, I'll know soon enough. I don't like it when doctors stay silent.

Makes me assume the worst.

PM me since it's off topic. I'm curious what your situation is.

Basically my thyroid is enlarged and has several nodules all over it. And they want to monitor it over time (I think they said every 3 to 6 months) to make sure it doesn't get worse.

My first round of bloodwork came back normal but I feel exhausted/like shit most days even if I get 8 hours of sleep. And especially if I eat anything containing gluten.

Someone that I work with went through a similar situation that I did and said that I may need to get some specific blood work done with a doctor that specializes in thyroid health.

[Assimilate]

Atra, did you pull completely out? i'm still in for like $3800... annnnd only have half of that after the recent slide 

[Atramental]

Just checked... $7,900 is all that is left of my crypto profits. I want to fucking die. 

[Brehvolution]

Ease trump's tax burden by paying gains on horse armor, brehs.

[Assimilate]

Just checked... $7,900 is all that is left of my crypto profits. I want to fucking die. 

you were up 50k at one point? see, i wouldn't have the stomach to hold at that point. That's an apartment bro. Or a downpayment on a house, or a sweet condo.


Didn't the founder of Chipotle start his first store with 50K? That could have been you my dude. It could have been you 

[curly]

can't tell if assimilate is trying to get atra to off himself or if he's just stupid

[Assimilate]

Nah, the only way to get through shit is to enjoy the burn, laugh it off and move on.

[Atramental]

[Atramental]

Y'know what. I'm not gonna off myself or eat/drink/drug myself to an early grave.

I'm just going to make really depraved visual art instead. Mentally I'm in a very dark place and I just want to manifest that darkness into the world at large.

[thisismyusername]

Well, I'll know soon enough. I don't like it when doctors stay silent.

Makes me assume the worst.

PM me since it's off topic. I'm curious what your situation is.

Basically my thyroid is enlarged and has several nodules all over it. And they want to monitor it over time (I think they said every 3 to 6 months) to make sure it doesn't get worse.

My first round of bloodwork came back normal but I feel exhausted/like shit most days even if I get 8 hours of sleep. And especially if I eat anything containing gluten.

Someone that I work with went through a similar situation that I did and said that I may need to get some specific blood work done with a doctor that specializes in thyroid health.

Might be Hypothyroidism, since the feeling exhausted is a symptom of that. But IANAD, so I wouldn't worry about it until they get back to you. Blood-tests take a while.

[Huff]

Doubt the IRS really cares about your 10K or whatever

heard someone say if you make less than 1Mill a year your in the clear

[kingv]

Y'know what. I'm not gonna off myself or eat/drink/drug myself to an early grave.

I'm just going to make really depraved visual art instead. Mentally I'm in a very dark place and I just want to manifest that darkness into the world at large.

Take furry commissions. Kill 2 birds with one stone.

[benjipwns]

Didn't the founder of Chipotle start his first store with 50K? That could have been you my dude. It could have been you 

He used like a $100K loan from his rich capitalist father, that was then propped up with a second $1.5 million loan from said dad when he wanted to expand after just a few months in his first business. (And after only a few years in total working any kind of job.)

Also, Steve Ells is totally and literally insane. Especially about food. No one should want to be him. The money's not even worth it as his empire collapses around him too.

If it wasn't based around burritos his career trajectory would look more like a crazed homeless hippie's version of Elizabeth Holmes.

[Olivia Wilde Homo]

Doubt the IRS really cares about your 10K or whatever

heard someone say if you make less than 1Mill a year your in the clear

Intentionally underreporting on your taxes is a felony.  You can risk not reporting it but if they catch him, they see all these posts in the thread, and then it’s off to be someone’s pin cushion in prison.  That or pay the difference back to the IRS at exorbitant interest rates.  Keep in mind the IRS is acutely aware of people declaring they don’t intend to pay taxes on cryptocurrency and they’ve been saying for months now that they’re going to focus on it.  I guess you can just assume they’re bluffing but cryptocurrency exchanges are all logged and can be easily subpoenaed.

Not trying to rub salt in Atramental’s wounds but “it’s gonna be fine if you don’t report it :DDD”  is wrong.

[benjipwns]

The problem with your theory is that nobody here posts anything that can be tracked back to them personally.

Nobody.

[Olivia Wilde Homo]

Good thing I’ve been lying about everything and hiding behind seven proxies

[benjipwns]

Dr. Julian Bashir: You know, I still have a lot of questions to ask you about your past.

Elim Garak: I have given you all the answers I'm capable of.

Dr. Julian Bashir: You've given me answers all right; but they were all different. What I want to know is, out of all the stories you told me, which ones were true and which ones weren't?

Elim Garak: My dear Doctor, they're all true.

Dr. Julian Bashir: Even the lies?

Elim Garak: Especially the lies.

[Atramental]

I’m on the grid for sure.

They probably have a big file with my name on it.

So, despite wishing I get snuffed out, I’m probably going to go the credit card route to pay these fucking taxes off.

[demi]

Told you to get a nice BBW pornstar and go wild. LUL

[warcock]

Knew it couldnt be as stupid as i thought.


On the other hand, sometimes your best option is to sell a losing investment in order to cut your losses and lower your taxes owed. Capital losses can be used to offset capital gains for tax purposes. If you realize $1,500 in capital gains in a given tax year, and you also realize a $1,000 capital loss, then you'll only owe taxes on $500 in gains. Furthermore, if your realized losses exceed your realized gains for a given tax year, then you can deduct up to $3,000 of the remaining losses from your taxable income. And if your net losses exceed that $3,000 threshold, then you can carry the remainder forward to future years.

Did you sell alot of gains and use that money tho?

[kingv]

I think the issue is that he sold from coin to coin to coin to coin, and every time he did that he was either:
1) realizing his losses
2) realizing his gains

And it’s hard to figure out what, and at the end of 2017, he had a fat stack that was stuck in crypto but had not been realized into gains or losses.

Now, in 2018, he can sell and realize the losses, but that shit won’t help him for taxes until next year.

[Huff]

Doubt the IRS really cares about your 10K or whatever

heard someone say if you make less than 1Mill a year your in the clear

Intentionally underreporting on your taxes is a felony.  You can risk not reporting it but if they catch him, they see all these posts in the thread, and then it’s off to be someone’s pin cushion in prison.  That or pay the difference back to the IRS at exorbitant interest rates.  Keep in mind the IRS is acutely aware of people declaring they don’t intend to pay taxes on cryptocurrency and they’ve been saying for months now that they’re going to focus on it.  I guess you can just assume they’re bluffing but cryptocurrency exchanges are all logged and can be easily subpoenaed.

Not trying to rub salt in Atramental’s wounds but “it’s gonna be fine if you don’t report it :DDD”  is wrong.

But you’re forgetting

YOLO

[Atramental]

I think my suicidal rage has subsided for now. Helps that I'm not drinking/drunk right now.

Will report back once I see how much I owe in taxes from the accountant.

[CatsCatsCats]

Damn, Atra, hope it works out for you better than you think

[Assimilate]

Didn't the founder of Chipotle start his first store with 50K? That could have been you my dude. It could have been you 

He used like a $100K loan from his rich capitalist father, that was then propped up with a second $1.5 million loan from said dad when he wanted to expand after just a few months in his first business. (And after only a few years in total working any kind of job.)

Also, Steve Ells is totally and literally insane. Especially about food. No one should want to be him. The money's not even worth it as his empire collapses around him too.

If it wasn't based around burritos his career trajectory would look more like a crazed homeless hippie's version of Elizabeth Holmes.

Is that how it went? the whole thing about him going around asking family members for loans until he got 50k was a lie? 

Of course it would be a lie wouldn't it.

[toku]

you're gonna be alright atra, i promise

[Atramental]

SEVEN GRAND IN TAXES ARRRRRGGGGH

 FUCKING CHRIST

edit: And next year it might be eight thousand or more.

That's basically my entire initial investment.

Thank fuck I took it out or I would have zero money right now...

I'm so fucking mad.

[Rufus]

Well, at least you're not sent into debt.

[CatsCatsCats]

Man, I was pissed off about owing the state 30 bucks

[thisismyusername]

Well, at least you're not sent into debt.

This, count your blessings.

Y'know what. I'm not gonna off myself or eat/drink/drug myself to an early grave.

I'm just going to make really depraved visual art instead. Mentally I'm in a very dark place and I just want to manifest that darkness into the world at large.

Take furry commissions. Kill 2 birds with one stone.

Also do this.

[naff]

Treating crypto assets in the same class as property is some of the dumbest shit i ever heard. The IRS are a fuckin joke

Treating cryptocurrency, such as Bitcoin, as property creates a potential accounting challenge for taxpayers who use it for everyday purchases because a taxable transaction occurs every time that a cryptocurrency is exchanged for goods or services. For example, if Jane purchased a slice of pizza with one Bitcoin that she purchased on June 1 2017, she would have to determine the basis of the Bitcoin and then subtract that by the cost of the slice of pizza to determine if any gain was recognized. There is currently no “de minimis” exception to this gain or loss recognition. Taxpayers must track their cryptocurrency basis continuously to report the gain or loss recognized on each crypto transaction properly. It is easy to see how this treatment can cause accounting issues with respect to everyday cryptocurrency transactions.

On the other hand, the loss recognition on cryptocurrency transactions is equally complex. A deduction is allowed only for losses incurred in a trade or business or on a transaction entered into for profit. If Jane had recognized a $100 loss on her purchase of merchandise from the online retailer, the loss may not be deductible. If Jane uses Bitcoin for everyday transactions and does not hold it for investment, her loss is a nondeductible personal loss. However, if she holds Bitcoin for investment and cashes out of her investment by using Bitcoin to purchase merchandise, her loss is a deductible investment loss. Whether Bitcoin is held for investment or personal purposes may be difficult to determine, and further guidance by the IRS on this topic is needed.

https://www.forbes.com/sites/greatspeculations/2018/01/03/what-you-should-know-about-taxation-of-cryptocurrencies/#314553bd1346

 

[I'm a Puppy!]

Does this mean you won't do my furry commission?

[Atramental]

I’m basically going to be eating nothing but boiled eggs, beans, and rice this year and next.

Just when I try to get ahead in life I get smacked back down like a little bitch.

Land of opportunity my fucking ass.

I hope the US becomes a smoldering crater. Fuck this shit for brains country and all the sheep in it.

[naff]

Have you actually got proper financial advice. I still think you should only pay tax on realised fiat gains.

Under Section 1031, no gain or loss is recognized if property held for investment (or for productive use in a trade or business) is exchanged solely for property of like kind.

First, the bad news. Buried deep in the massive tax bill enacted at the end of 2017 was a provision that limits like-kind exchanges to real estate transactions, effective after December 31, 2017.

So your crypto -> crypto transactions prior to 31/12 can be argued for exemption under Section 1031. Assume you've already looked into this stuff but.. Still sounds iffy. I would love to see the IRS try and prove there is some realised gain from crypto -> crypto trades in court.

[naff]

Will report back once I see how much I owe in taxes from the accountant.

yikes, ok i missed this post.

maybe your accountant sucks? :p

[Atramental]

I already know I’m a cuck. A wagecuck that’ll be working myself to death until I can no longer bare to live.

Looks like my retirement plan is still a loaded gun or some heroin to overdose on. Yippie.

[CatsCatsCats]

Yo Atra, does this mean we gettin back into the lottery pool game soon?

[curly]

why don't you just develop some other skills and get a better job, or develop yourself socially and get a wife so that you two can share the burden of existence, like the rest of us do

Aren't you supposed to be like 20

[Atramental]

why don't you just develop some other skills and get a better job, or develop yourself socially and get a wife so that you two can share the burden of existence, like the rest of us do

I would the only problem is that as soon as I get home from work I want to go to bed because I feel so fucking tired. I pray that my doctor will shed some light, this Friday, on what I can do to get my energy levels back to normal or I might as well just end it all if all I’ll be doing is working and sleeping in order to recover from work for the rest of my life.

[brawndolicious]

Hold on Atra, it's equal to your initial investment? How much of the 7k can you pay with your profits/remaining crypto?

[Atramental]

Yo Atra, does this mean we gettin back into the lottery pool game soon?

I’m desperate so the thought has crossed my mind.

Hold on Atra, it's equal to your initial investment? How much of the 7k can you pay with your profits/remaining crypto?

I checked today. I have around $9K of my profits left (it was $7900 a week ago...). I want to keep it in though because there should be more money flowing in once we get past tax season. I’m hopeful that by December I’ll have at least $15K in crypto and then I could cash that money out to pay for 2018’s taxes.

Are you a healthy weight? How's your diet?

I’m 210 lbs (6’ tall). I’m overweight but I’ve been eating mostly eggs, meat, and veggies lately and trying to stay away from starchy carbs as much as possible. I hardly ever eat bread now because it wreaks such havoc to my body.

I’m hoping to get to the gym this weekend but last Saturday I slept the majority of it away and then on Sunday I had to prepare for the work week and get chores done that I didn’t get done the week before due to work.

[Atramental]

I'm more of a cat person tbh.

[Huff]

Do people actually go to jail for not paying taxes

[Huff]

Esp white people. Use your god given advantage

[Olivia Wilde Homo]

I’m 210 lbs (6’ tall). I’m overweight but I’ve been eating mostly eggs, meat, and veggies lately and trying to stay away from starchy carbs as much as possible. I hardly ever eat bread now because it wreaks such havoc to my body.

I’m hoping to get to the gym this weekend but last Saturday I slept the majority of it away and then on Sunday I had to prepare for the work week and get chores done that I didn’t get done the week before due to work.

If you're fat it could be sleep apnea

[thisismyusername]

Do people actually go to jail for not paying taxes

Yes?

(Literally the first person that came to my head, no agenda or anything)

[thisismyusername]

Then again, Atra could go bankrupt and become president.

[Atramental]

I’m 210 lbs (6’ tall). I’m overweight but I’ve been eating mostly eggs, meat, and veggies lately and trying to stay away from starchy carbs as much as possible. I hardly ever eat bread now because it wreaks such havoc to my body.

I’m hoping to get to the gym this weekend but last Saturday I slept the majority of it away and then on Sunday I had to prepare for the work week and get chores done that I didn’t get done the week before due to work.

If you're fat it could be sleep apnea

I might ask the doctor about that. But I thought only besada sized people got sleep apnea.

[brawndolicious]

I’m 210 lbs (6’ tall). I’m overweight but I’ve been eating mostly eggs, meat, and veggies lately and trying to stay away from starchy carbs as much as possible. I hardly ever eat bread now because it wreaks such havoc to my body.

I’m hoping to get to the gym this weekend but last Saturday I slept the majority of it away and then on Sunday I had to prepare for the work week and get chores done that I didn’t get done the week before due to work.

If you're fat it could be sleep apnea

I might ask the doctor about that. But I thought only besada sized people got sleep apnea.

No even skinny people can get it. You can wear a Mi band or fitbit to see how you sleep at night.

Or like go to a real sleep doctor if you wanna be all official like that.

[thisismyusername]

I’m 210 lbs (6’ tall). I’m overweight but I’ve been eating mostly eggs, meat, and veggies lately and trying to stay away from starchy carbs as much as possible. I hardly ever eat bread now because it wreaks such havoc to my body.

I’m hoping to get to the gym this weekend but last Saturday I slept the majority of it away and then on Sunday I had to prepare for the work week and get chores done that I didn’t get done the week before due to work.

If you're fat it could be sleep apnea

I might ask the doctor about that. But I thought only besada sized people got sleep apnea.

No, even underweight can get it like Brawndolicious said.

Brawn: Those fitbits actually are accurate when it comes to that? I figured it only checks when you go to sleep/REM and then raise, nothing about the breathing or anything. ...Though, I guess monitoring the REM cycle(s) makes it accurate...

[kingv]

Have you actually got proper financial advice. I still think you should only pay tax on realised fiat gains.

Under Section 1031, no gain or loss is recognized if property held for investment (or for productive use in a trade or business) is exchanged solely for property of like kind.

First, the bad news. Buried deep in the massive tax bill enacted at the end of 2017 was a provision that limits like-kind exchanges to real estate transactions, effective after December 31, 2017.

So your crypto -> crypto transactions prior to 31/12 can be argued for exemption under Section 1031. Assume you've already looked into this stuff but.. Still sounds iffy. I would love to see the IRS try and prove there is some realised gain from crypto -> crypto trades in court.

I’m not really sure what else you would classify it. It doesn’t really fit the definition of currency.


Worth mentioning again, that this is like a month of furry commission work. I’m sad I can’t fucking draw, or I would be full stop drawing Hentai and Furry commissions every day.

Draw up your best dragon creampieing a futa Leapord with wings and a goatse with anal teeth and get em up on your deviant art and start rolling in that dough.

[naff]

my diagnosis atra: u need some therapy and a good fuck

[toku]

[curly]

Just stop browsing 4chan, it gives you brain cancer

[Atramental]

>implying that I don’t already have brain cancer

 

I’m not gonna lie, I’d totally be doing this if I knew I could get away with it for a couple of months.

[warcock]

I know someone inside. Lets just say me and naff were on the right track. Im gonna declare eitherway cause im a fucking pussy. But yeah. Claim prop to prop exchange the onus is on them. You will avoid any kind of felony. Furthermore i think the IRS is gonna get sued up the ass if they go a hyper retroactive penalty route. You are giving them work they dont want to do.

[Atramental]

I think people are dumping their tax refunds into crypto. 

It was just two or three weeks ago I was scrapping $7500.

[Atramental]

SOROOOOOOOSSSS 

[Atramental]

https://www.newyorker.com/magazine/2018/04/16/a-sidelined-wall-street-legend-bets-on-bitcoin