kentm

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331.
by kentm 9y ago
I probably am overestimating their reach. I would imagine the willpower scales proportionally with the amount of lost revenue minus the cost of pursuing. I’m sure a lot of people in crypto think they’re cleverly covering their tracks whe
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by kentm 9y ago
First off, yes it’s a pain in the ass in practice and a real headwind for using crypto as a currency. At the same time most people are treating crypto as a property investment in practice, so it’s hard to dispute the IRS’s approach here. As
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by kentm 9y ago
> If I buy 60000 XRP for 4 BTC, what is my cost basis? For the BTC? The USD value at the time you bought them. > Do I have to keep track of how much those bitcoins were worth when I traded? Yes > What if I don't have that data
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by kentm 9y ago
It does make it hard, yes, but that’s what the IRS expects. Edit: easiest thing to do as a workaround, imo, would be to build tax reporting into wallet software.
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by kentm 9y ago
I did the research a few months ago and don’t remember the details, so sorry if this is vague. There are certain criteria that are required for something to be treated as a split and IIRC coin forks were really iffy in this case. The usual
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by kentm 9y ago
Coinbase and other crypto exchanges report to the IRS for one. There’s also forensic accounting where large unexplained cash flows (i.e. buying a house for money far above your income level) establish probable cause, which allows them to go
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by kentm 9y ago
Treat it as if you sold the crypto for USD (and pay capital gains). So if you bought a crypto for $10, the price appreciated to $110, and then you bough something worth $110, then you have to pay taxes on $100 of income. It’s the same place
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by kentm 9y ago
Nope. If you mine cryptos or receive them as income they’re reported as income. You also have to report gains if you spend them or trade them for another crypto currency.
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by kentm 9y ago
It’s still ambiguous but the most straightforward way is to treat it as miscellaneous income, which is how I reported it.
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by kentm 9y ago
I'm not sure the article supports that conjecture. BMW said in the article that the current models are not "profitable enough" to scale up, meaning that they have profitable unit economics but think they can do better. Spec
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by kentm 9y ago
I can relate to this. Luckily, my only side project was only a few weeks and not a year. After that experience, I realized that freelance programming was different than hobbyist programming, that I would prefer to have free time rather th