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Taxes on crypto currency

Taxes on crypto currency

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DO YOU HAVE TO PAY TAXES ON CRYPTO?
If you held a particular cryptocurrency for more than one year, you're eligible for tax-preferred, long-term capital gains, and the asset is taxed at 0%, 15%. This is because you trigger capital gains or losses if its market value has changed. If you receive crypto as payment for business purposes, it is taxed as business income. The IRS treats all cryptocurrency, like Bitcoin and Ethereum, as capital assets and taxes them when they're sold at a profit.

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You can use a Crypto Tax Calculator to get an idea of how much tax you might owe from your capital gains or losses from crypto activities. Investopedia is part of the Dotdash Meredith publishing family. Have questions about TurboTax and Crypto? The above article is intended to provide generalized financial information designed to educate a broad segment of the public; it does not give personalized tax, investment, legal, or other business and professional advice.