Irs goign after bitocin

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Irs goign after bitocin	Bitcoin, which was introduced in , is commonly recognized as the first convertible virtual currency. As previously discussed, the IRS established that virtual currency is property for U. You can write off Bitcoin losses. In , the IRS announced it was sending letters to more than 10, people who potentially failed to report crypto income. The IRS concluded in ILM that exchanges of: 1 bitcoin for ether; 2 bitcoin for litecoin; or 3 ether for litecoin, prior to , did not qualify as a like - kind exchange under Sec.
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The IRS has begun sending thousands of letters to US cryptocurrency holders warning them they may have incorrectly reported the taxes they. Bitcoin is taxable if you sell it for a profit, use it to pay for for a service or earn it as income. You report your transactions in U.S. The IRS is going after taxpayers who owe money from cryptocurrency trades. Bitcoin, Litecoin or Ethereum, and will send 10, of these.