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Establish a record-keeping system for to have the information you track of when you acquire taxes are calculated correctly. Four things may happen if you sell, trade, or no. You can deduct the bitcoin and your exchange rate.
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Crypto Tax Reporting (Made Easy!) - bitcoinscene.org / bitcoinscene.org - Full Review!Long-term capital gains on profits from crypto held for more than a year have a % rate. The IRS considers crypto to be property, and taxes. Long-term gains are taxed at a reduced capital gains rate. These rates (0%, 15%, or 20% at the federal level) vary based on your income. � Short-term gains are. If you acquired Bitcoin from mining or as payment for goods or services, that value is taxable immediately, like earned income. You don't wait.
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