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And yet, if you do this and then give 100 million of those tokens to your friend, your friend now owes the IRS $40 million USD. Go figure
by Taek 6y ago
And yet, if you do this and then give 100 million of those tokens to your friend, your friend now owes the IRS $40 million USD.
Go figure
- ceejayoz 6y ago"I didn't want them, though." "Tough shit, pay up." Is there an IRS mechanism for rejecting an un-rejectable transfer?
- jobigoud 5y agoDon't sell the tokens for fiat. The token transfer itself isn't taxable (at least in my jurisdiction it works like this).
- Taek 5y agoThis doesn't work in the US. The IRS guidance states that the moment you received the tokens, you've incurred a tax burden. Refusing to sell the tokens protects you from capital gains taxes, but capital gains taxes only applies to tokens you purchased in the first place. Tokens you were gifted counts as income.