Cryptocurrency and Taxation – Here’s What You Need to Know

Taxation

Crypto investors aren’t exempt from taxation:  The U.S. tax authority has already provided a guideline for cryptocurrency taxation; they believe cryptocurrency transactions are taxable and these currencies should be treated as an intangible asset.  When anyone buys crypto coins and sells them in a market, the investor is liable to pay capital gain tax if he realized any gain.

“Some people with bitcoin may think of it as dollars or cash,” says Morin. “But for IRS purposes it should be treated as a house, stocks, bonds. You have to look at the general tax principles that ...

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