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Old 01-30-2018, 09:25 PM
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Bitcoin income December/January mix up. Help

Hi there everyone. I really need some help doing my taxes this year. So I made some extra income by buying bitcoin. 15k dollars to be exact. I sold in about a month in December. Now its January and I've unfortunately lost 5k of those 15k. Am I supposed to still report the full 15k gain or can I reduce that to 10k since I lost 5k weeks after the gain. Thank you for your help!



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Old 01-31-2018, 04:40 AM
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The IRS considers cryptocurrencies, including Bitcoin, to be ?intangible property.? Investors and traders holding cryptocurrency as a capital asset should use capital gain or loss tax treatment on sales and exchanges, with the realization method. Generally, when taxpayers have engaged in Bitcoin transactions, Form 8949 should be included along with 1040 Sch D of 1040. Per the instructions set forth for a Sch D of 1040 filing, you need to use Form 8949 to report the sale or exchange of a capital asset not reported on another form or schedule. You need to omplete all necessary pages of Form 8949 before you complete sch D of 1040 .



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Old 01-31-2018, 09:10 PM
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Hey thanks for the reply. Do you know if I need to report my full amount even if I lost a good portion of it in the beginning of January. I know Im going to have to pay. But I lost a big portion trading and don't have all the money.



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Old 02-01-2018, 03:57 AM
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Quote:
Originally Posted by oliver41510 View Post
Hey thanks for the reply. Do you know if I need to report my full amount even if I lost a good portion of it in the beginning of January. I know Im going to have to pay. But I lost a big portion trading and don't have all the money.
of coursd you need to report full amt of gain/loss on those form/Sch;i what i mean is that for exampl, on your sch d of 121040 you neeed to report the overall gain or loss from transactions reported on Form 8949;on your f8949, you also need to report the overall gain / loss



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