- Crypto-to-Crypto Capital Gains
- Crypto-to-Fiat Taxation
- Taxation of crypto-gifting
- Taxation of crypto-mining
- Crypto-tax for non-US citizens
- Business entities for crypto-investing and trading – LLCs and C-corps
- Tax treatment of inherited cryptocurrency
- 1031 like-kind exchanges for crypto-to-crypto transactions: Utility Tokens vs Digital Currency (Bitcoin, Monero, Ethereum, Zcash, etc.)
- Tax Basis Calculations: FIFO, LIFO, HIFO, Specific Identification, Average Cost
- Taxation of ICOs – Initial Coin Offerings
- Hard Forks, Air Drops
- The Cryptocurrency Tax Fairness Act
- Ordinary income vs. short-term gain vs. long-term gain
- Tax-free retirement accounts (Solo 401K, Checkbook IRA-LLC) for crypto investing
- The IRS and Virtual Currency: Chainalysis, Coinbase John Doe Summons
- FBAR (FinCEN 114), FATCA
In this live radio broadcast, we discussed the fundamentals of Cryptocurrency taxation and tax-free Cryptocurrency retirement account investing. If you’d like to invest tax efficiently in Bitcoin (BTC), Initial Coin Offerings (ICOs), Bitcoin mining, and any other Blockchain venture, this podcast will give you the basics for doing so with Checkbook SDIRA and Solo 401K Plans.
The IRS published guidance regarding the tax treatment of virtual currencies in IRS Notice 2014-21. Cryptocurrency transactions, even when no “fiat” is received, are taxable events. For example, if a crypto investor trades Bitcoin for Ethereum, he may owe taxes on that trade – but the transaction will not have provided any US Dollars with which to pay the tax liability (the IRS does not yet accept crypto payment of taxes).
Crypto-mining has particularly unfavorable tax treatments as ordinary income. Self-directed retirement accounts, when properly structured, can be used to significantly improve the tax results of mining operations.