Bitcoin issues

[BOB W]

So this "Coin Tracker" will spit out a report like a bank statement or Credit Card statement and you pick what you want for business expenses or personal? What exactly will the transaction tell you and what or how do the statement have to do with a tax return, gains or losses on transactions? Are we talking about a "Basis" per transaction?

[Rapid Robert]

Wonder if the IRS will assign a default basis to those who sell but did not report the purchase?

There is no place on the tax return where one is required to report the amount of a cryptocurrency purchase in the year of purchase (with no corresponding sale).

[Dude]

Basis keeping is up to the buyer.

[BOB W]

I just reviewed Coin Tracker video and it appears Coin Tracker, for tax reporting, spits out a report like a brokerage eoy statement showing profits and losses.

At one point they claimed some countries don't tax cryptocurrencies held more than one year. Humm....

[Burke]

Had one this year. Young girl in her 20's who had bought over 2 years, sold in 2020. Thank God, she sold it all! But then she starting buying again. She sent me 11 screenshots of the purchases, which I told her she had to start saving for future transactions. They were all on her phone. Some were long term, some were short-term. Since she sold it all, I didn't have to deal with FIFO, LIFO, and HIFO. I recommended a tracker service but she probably won't go for it. They don't have a clue of what's involved. Sounds like your software is trying to provide basis for you by logging purchase info. Mine didn't have that option that I could see.