Bitcoin discussions and knowledge share

[Puchakai]

18 minutes ago, tom brady said:

No enough FUD to achieve 5k..

Tether negativity could achieve it.

[Pipucbn]

10 hours ago, ronitreddy said:

For all those who have questions pertaining to Tax Filing. Please read below:

According to the IRS, gains and losses on crypto currencies are treated as capital gains/losses (see IRS Notice 2014-21 below).
Short-term capital gains are considered to be short-term when the asset is held for less than ONE year. In this case, if you bought $100 of LTC in January 2017 and sold for $1,000 in December 2017, you would be taxed on the gain of $900 (sold $1,000 - $100 basis). Short-term capital gains are taxed at the SAME rate as your marginal tax bracket (10%, 15%, 25%, 28%, 33%, 35%, or 39.6% - see below).

Long-term capital gains are considered to be long-term when the asset is held for more than ONE year. In this case, if you bought $100 of LTC in November 2016 and sold for $1,000 in December 2017, you would be taxed on the gain of $900 (sold $1,000 - $100 basis). Long-term capital gains are taxed according to 0%, 15%, or 20% according to WHICH marginal tax bracket you fall in (see below).

Hopefully this clears this up a bit more for people who don’t know about taxes and crypto currency in the US. I highly advise you report any gains you incur, whether its $2 or $100,000. The IRS doesn’t have the records of crypto currency holders unlike real brokerages that must report to the IRS. If you do NOT report, you run the risk of the IRS receiving information from court cases with exchanges like Coinbase and you’ll pay both taxes, penalties, and interest as well.

Rules could change based on tax reform due to the Senate and House bills for tax year 2018.
TLDR: Short-term, < 1 year taxed at marginal tax rate. Long-term, >1 year taxed at 0%, 15%, or 20% based on tax bracket. Pay your taxes or it WILL eat your profits.

FAQ #1: What if I trade my crypto for USD but leave the USD in my Coinbase wallet?
Trading your crypto for USD is taxable ALWAYS. It does not matter if you leave the USD in an exchange or take out to your bank account.

FAQ #2: What if I trade my crypto for another crypto? Is this taxable?
Trading crypto to crypto COULD BE considered a like-kind exchange and therefore non-taxable, BUT the IRS has not released an official statement on it yet. The IRS discusses like-kind exchanges in FS-2008-18, February 2008 (see source). FIVE types of property are specifically excluded from Section 1031 treatment (like-kind) which does NOT include "virtual currency." The list of exclusions are inventory or stock in trade; stocks, bonds, or notes; other securities or debt; partnership interests; and certificates of trust. If you chose to not report crypto to crypto trades, you could run the risk that the IRS makes a statement on this matter and chooses to back-tax your trades. Please use caution when considering this! Consult a local and well-rounded CPA for assistance!

FAQ #3: What if I trade crypto and incur a loss?
In this case, you are allowed to deduct up to $3,000 in losses (single or married filing jointly) per year. If your total net loss is greater than $3,000, you can carry it over to next year's return. Though you must first calculate the total net gain/loss before taking the $3,000 deduction from your AGI.

FAQ #4: What if I buy LTC for $100, then sell it later for $500, have a gain of $400 but reinvest the gain into crypto? Will I be taxed on my $400 gain?
Yes. When you have a taxable gain, it does not matter if you immediately invest it back into crypto. A sale is a sale and will be taxable in the majority of the situations.

FAQ #5: When do I pay my capital gains for crypto? Do I need to make a payment before I file my return? When do I need to file a tax return?
If you anticipate a sizable capital gain during the year, you must make an estimated tax payment in the quarter of the applicable gain if: 1) You expect to owe at least $1,000 in tax for the current year after subtracting withholdings, 2) You expect your withholding and refundable credits to be less than the smaller of: 90% of the tax on the current year return OR 100% of the tax shown on the prior year return.
You must file your return by April 15, 2018 for the 2017 tax year.

FAQ #6: What forms do I use to report my gains on crypto?
All taxpayers are required to file Form 1040. If you have long-term or short-term gains, you will need to file Form 8949. The amounts from Form 8949 will then be totaled on Schedule D and Form 1040. There may be other filing requirements if you hold investments in foreign accounts.

FAQ #7: What if trade my crypto into another fiat currency that is not USD, will I be taxed in the US?
Yes, you will be taxed. You must use a conversion rate to determine the amount of your gain in USD to report on your tax return. You also may be subject to filing additional forms, but this is not the case for the majority of people.

USE THIS ADVICE AT YOUR OWN DISCRETION
The above given advice does not constitute any binding agreement or actual written advice. Please, please, please! Reach out to a local CPA or financial advisor who can EFFECTIVELY calculate your tax liabilities from trading crypto.

Sources:
https://www.irs.gov/pub/irs-drop/n-14-21.pdf
https://www.fool.com/retirement/2016/12/11/long-term-capital-gains-tax-rates-in-2017.aspx
https://taxfoundation.org/2017-tax-brackets/
https://www.irs.gov/newsroom/like-kind-exchanges-under-irc-code-section-1031
https://www.irs.gov/newsroom/capital-gains-and-losses-10-helpful-facts-to-know
https://www.irs.gov/faqs/estimated-tax/large-gains-lump-sum-distributions-etc/large-gains-lump-sum-distributions-etc

Panikocche post 

[KathiRamdaas]

10 hours ago, ronitreddy said:

For all those who have questions pertaining to Tax Filing. Please read below:

According to the IRS, gains and losses on crypto currencies are treated as capital gains/losses (see IRS Notice 2014-21 below).
Short-term capital gains are considered to be short-term when the asset is held for less than ONE year. In this case, if you bought $100 of LTC in January 2017 and sold for $1,000 in December 2017, you would be taxed on the gain of $900 (sold $1,000 - $100 basis). Short-term capital gains are taxed at the SAME rate as your marginal tax bracket (10%, 15%, 25%, 28%, 33%, 35%, or 39.6% - see below).

Long-term capital gains are considered to be long-term when the asset is held for more than ONE year. In this case, if you bought $100 of LTC in November 2016 and sold for $1,000 in December 2017, you would be taxed on the gain of $900 (sold $1,000 - $100 basis). Long-term capital gains are taxed according to 0%, 15%, or 20% according to WHICH marginal tax bracket you fall in (see below).

Hopefully this clears this up a bit more for people who don’t know about taxes and crypto currency in the US. I highly advise you report any gains you incur, whether its $2 or $100,000. The IRS doesn’t have the records of crypto currency holders unlike real brokerages that must report to the IRS. If you do NOT report, you run the risk of the IRS receiving information from court cases with exchanges like Coinbase and you’ll pay both taxes, penalties, and interest as well.

Rules could change based on tax reform due to the Senate and House bills for tax year 2018.
TLDR: Short-term, < 1 year taxed at marginal tax rate. Long-term, >1 year taxed at 0%, 15%, or 20% based on tax bracket. Pay your taxes or it WILL eat your profits.

FAQ #1: What if I trade my crypto for USD but leave the USD in my Coinbase wallet?
Trading your crypto for USD is taxable ALWAYS. It does not matter if you leave the USD in an exchange or take out to your bank account.

FAQ #2: What if I trade my crypto for another crypto? Is this taxable?
Trading crypto to crypto COULD BE considered a like-kind exchange and therefore non-taxable, BUT the IRS has not released an official statement on it yet. The IRS discusses like-kind exchanges in FS-2008-18, February 2008 (see source). FIVE types of property are specifically excluded from Section 1031 treatment (like-kind) which does NOT include "virtual currency." The list of exclusions are inventory or stock in trade; stocks, bonds, or notes; other securities or debt; partnership interests; and certificates of trust. If you chose to not report crypto to crypto trades, you could run the risk that the IRS makes a statement on this matter and chooses to back-tax your trades. Please use caution when considering this! Consult a local and well-rounded CPA for assistance!

FAQ #3: What if I trade crypto and incur a loss?
In this case, you are allowed to deduct up to $3,000 in losses (single or married filing jointly) per year. If your total net loss is greater than $3,000, you can carry it over to next year's return. Though you must first calculate the total net gain/loss before taking the $3,000 deduction from your AGI.

FAQ #4: What if I buy LTC for $100, then sell it later for $500, have a gain of $400 but reinvest the gain into crypto? Will I be taxed on my $400 gain?
Yes. When you have a taxable gain, it does not matter if you immediately invest it back into crypto. A sale is a sale and will be taxable in the majority of the situations.

FAQ #5: When do I pay my capital gains for crypto? Do I need to make a payment before I file my return? When do I need to file a tax return?
If you anticipate a sizable capital gain during the year, you must make an estimated tax payment in the quarter of the applicable gain if: 1) You expect to owe at least $1,000 in tax for the current year after subtracting withholdings, 2) You expect your withholding and refundable credits to be less than the smaller of: 90% of the tax on the current year return OR 100% of the tax shown on the prior year return.
You must file your return by April 15, 2018 for the 2017 tax year.

FAQ #6: What forms do I use to report my gains on crypto?
All taxpayers are required to file Form 1040. If you have long-term or short-term gains, you will need to file Form 8949. The amounts from Form 8949 will then be totaled on Schedule D and Form 1040. There may be other filing requirements if you hold investments in foreign accounts.

FAQ #7: What if trade my crypto into another fiat currency that is not USD, will I be taxed in the US?
Yes, you will be taxed. You must use a conversion rate to determine the amount of your gain in USD to report on your tax return. You also may be subject to filing additional forms, but this is not the case for the majority of people.

USE THIS ADVICE AT YOUR OWN DISCRETION
The above given advice does not constitute any binding agreement or actual written advice. Please, please, please! Reach out to a local CPA or financial advisor who can EFFECTIVELY calculate your tax liabilities from trading crypto.

Sources:
https://www.irs.gov/pub/irs-drop/n-14-21.pdf
https://www.fool.com/retirement/2016/12/11/long-term-capital-gains-tax-rates-in-2017.aspx
https://taxfoundation.org/2017-tax-brackets/
https://www.irs.gov/newsroom/like-kind-exchanges-under-irc-code-section-1031
https://www.irs.gov/newsroom/capital-gains-and-losses-10-helpful-facts-to-know
https://www.irs.gov/faqs/estimated-tax/large-gains-lump-sum-distributions-etc/large-gains-lump-sum-distributions-etc

[Puchakai]

Feb 6th sec and cftc hearing vundi........appudu inka dip vundachu

[ronitreddy]

9 hours ago, SeemaLekka said:

Eth beating pace penchindi

2018 is going to be ETH and NEO's year

[rkmr76]

I will put 2k each on ETH and NEO

[mad_foodie]

2 hours ago, Raithu_bidda_ said:

My portfolio had taken loss of 6k in all time low 

bayya is it 6k down in profit or total 6k loss till date with out any profit from the day u are in market

[ronitreddy]

9 hours ago, mad_foodie said:

ilanti vinnapudu konchem prashanthanga untundhi bro..Thanks bro

but ilanti dip untundhi ani okkadu kuda youtube videos pettale..suppoman or maddaloman...telisunte konevallam kadhuga..

 

This is the not the first time that market has been crashed bro. Every single time it got  crashed it came back strongly.

And I don't see any significant reasons which will keep this market from recovering.

Suppoman even compared this crash with the Sept crash in his yday's video. Please DYOR with diligence. Don't invest more than you can afford to lose 

[ronitreddy]

3 hours ago, TheBrahmabull said:

trap aa endi ... sudden jump ayindi

Bull trap?

[ronitreddy]

2 hours ago, Raithu_bidda_ said:

Binance lists nano 

time to dump at ath 

Dump it as soon as you can. Tarwatha price will becum stable

[ronitreddy]

2 hours ago, Puchakai said:

Ee time lo wanchain ni exchanges lo vodalali......ico kanna takkuva price ki grab chesukovachu

I dun think so. It still has got that hype and potential to go huge when it hits the exchanges doesn't matter how the market is 

[ronitreddy]

2 hours ago, Raithu_bidda_ said:

Either btc goes to 4 to 6k or to 14k ee two days lo decide avtadi 

Mari antha bullish aa?

[ronitreddy]

2 hours ago, Puchakai said:

Eos looks like the first winner ee war lo.....9th place ni solidify chesukunne laaga vundi.....1.4 billion market cap difference between eos and nem........eppudu eos 0.1 billion mc difference tho venaka vundedi

EOS is a great project 

[TOM_BHAYYA]

9 minutes ago, ronitreddy said:

Bull trap?

Lambo kontamaantava

ee year end ki aina

[ronitreddy]

2 minutes ago, TOM_BHAYYA said:

Lambo kontamaantava

ee year end ki aina

Edo oka roju kontaru babu..edo oka roju kontaru