Bitcoin investors in the United States are selling off their crypto to pay off capital gain tax.
First-time investors in Bitcoin are faced with large capital gain taxes from the profit they made in 2017. Reports show that they are now selling off quickly before they file their April taxes.
Bitcoin investors in the United States are selling off their crypto to pay off capital gain tax.
First-time investors in Bitcoin are faced with large capital gain taxes from the profit they made in 2017. Reports show that they are now selling off quickly before they file their April taxes.
If an individual buy and sells Bitcoin within the same year, the person will be taxed on short-term capital gains which can be as high as 39% depending on the tax bracket.
Airdrops and Bitcoin mining are also being taxed. However, they are taxed as ordinary income, and so the rate depends on the Individual’s tax bracket. However, when a person holds on to Bitcoin for more than a year before selling, it will only be liable for what the IRS refers to as long-term capital gains. The rate for this kind of tax is significantly lower from about 15 to. 23.8%.
At the same time, Google announced banning all cryptocurrency related ads pushing Bitcoin prices to an all month low. The volatile cryptocurrency fell by $500 within a six-hour space. This isn’t a surprise since cryptocurrencies are highly susceptible to troughs in values and spikes.
Read more at: ttps://smartereum.com/5636/the-real-reason-behind-bitcoins-price-crash-sun-may-19/
