I pay my normal taxes and just liked having this *untaxed bitcoin deal on the side, where the U.S. tax mob didn't get to dip there fingers into my supplementary income because well...
I Am Not Rich
Then I decided I should probably pay you F&%Kin' Son of a B&TCH
I'm working off guidance from 2014, where no-matter-what I do I'm pretty sure I will get it wrong. It also seems that the government doesn't really understand cryptocurrencies or how to treat them. I surely don't really know how to treat my situation!
_ I have been preparing my taxes using self employment taxes and using only my total cash out amount from coinbase-bank account as my earned income_
The issue is that most of what I do with my cryptocurrencies is just move into other investments or hold for the long term. I would consider much of that Like-Wise trading unless I take proceeds and cash out into real USD through coinbase?
I don't plan on including some really intense trading history that would require a team of accountants to determine my trading netted only a few thousand dollars...
Then again, I really feel I'm setting myself up for an audit simply by including "Bitcoin" on my Tax form
It's hard to want to put a serious effort into paying taxes on when the government itself hasn't put the effort into clarifying the tax implications. But I do want to pay and I want it to be enough so they leave me alone or at least determine that they owe me something. Think about that - Uncle Sam breaking down your door to pay you! Sounds good to me... lol, that would be the day but quite doubtful.
What you did or how you did them. Did you use any firm? Should I consider utilizing an accounting service?
or should I even worry since I'm trying to be legit paying bitcoin taxes?
@generation.easy