Taxing Bitcoin Forks

I had an interesting conversation with Robert Green, CPA, of GreenTraderTax.com last week. We discussed the potential issues around how income will be declared for forks and if like-kind exchanges are valid. Fork Income With regard to the last Bitcoin Cash fork in August 2017, Green writes that the…

How to tax Bitcoin Cash (BCH)

On 1st August 2017, a new Bitcoin fork was created called Bitcoin Cash. Starting from block 478558, the Bitcoin blockchain split to be the Bitcoin (BTC) and the Bitcoin Cash (BCH) forks. Anyone who held BTC before the fork are able to receive the equivalent amounts of BCH. BCH can…

DASH

The latest update of BitcoinTaxes now has address support for DASH. DASH (previously DRK) could always be used when adding trades, income and spending. Adding or importing mining transactions used DASH/USD and DASH/BTC price lookups for calculating fiat amounts. With this update DASH has been added into the…

Common Questions about Bitcoin and Taxes

We're way into the new tax filing season for 2016 with taxes due by Tuesday, April 18 2017. 2016 saw an increase in the price of BTC from $430 to $1,000. Many people will likely have capital gains this year from selling or spending any coins. Here are some…

TIGTA Report on IRS strategy for income from digital currencies

On September 21, 2016, the Treasury Inspector General for Tax Administration (TIGTA) released its report on the IRS on how they have dealt with digital currencies (virtual currencies). The report can be found here: https://www.treasury.gov/tigta/auditreports/2016reports/201630083fr.pdf The purpose of the report was to…