The like-kind exchange tax exemption has never been applicable to crypto, an IRS official said.
It is hard to define cryptocurrency taxes, because there is a lot of controversy surrounding it today. Society still has no consensus even on whether digital currencies are a property or a currency, and that triggers a huge difference in taxation procedure. The speed of exchange rate flows makes it impossible to establish a taxation time period equally suitable for everyone. Also, there are a lot of cryptocurrencies that were particularly designed to protect user’s anonymity and their protocols wouldn’t allow any government to tax it.
As cryptocurrency market is growing, and its sheer dollar value makes it more likely to catch an attention of regulators. Cryptocurrencies are also a great way of money laundering, so no government will be able to ignore the subject. Today there are a lot of news about new cryptocurrency taxes laws and it looks like there will be more over time.
- Grayscale Files Form to Become First Bitcoin Fund to Report to SEC
- Canada’s Largest Bank Refutes Rumors About It Launching Crypto Exchange
- Lamborghini Now Uses Salesforce Blockchain to Certify Heritage Cars
- FEMA Suggests Blockchain-Based Registry to Improve Disaster Insurance Payouts
- Willy Woo: $8K Bearish Bitcoin Price in ‘Unique Setup’ Before Halving