4 ms·
Wouldn’t it not count as income until you sold it for USD? In which case you wouldn’t be liable for every fork, just the ones you benefitted from.
by schrodinger 9y ago
Wouldn’t it not count as income until you sold it for USD? In which case you wouldn’t be liable for every fork, just the ones you benefitted from.
- bencollier49 9y agoThat's the way it's treated in UK law, but apparently in the US, you're liable for the tax as soon as you have access to the asset. I think the same thing causes people problems with stock options. Seems like an odd bit of legislation.
- schrodinger 9y agoHmm, are you sure? I thought that if you held bitcoin for over a year, it would be taxed as capital gains? Meaning you don't realize the value until you sell it?
- IanCal 9y agoI think the key difference is that the initial value is not gains, it's much more like income.
- asaph 9y agoIt seems to me that forks are treated more like RSUs (restricted stock units) than stock options. When a company grants you RSUs, you're immediately responsible for tax on the value of the shares. If you then hold the stock for any period of time, and later sell at a profit, you'll need to pay tax on that profit too. You get taxed twice. EDIT: IANAL, IANAA, etc...