Crypto Taxes: What You Need to Know

Navigating Cryptocurrency Taxes: Understanding Your ObligationsWhen selling or exchanging cryptocurrency, you may owe taxes if the value increases. The tax rate depends on how long you held the asset and your income. Short-term gains (held less than a year) are taxed at your ordinary income rate, while long-term gains (held over a year) have lower rates. Youre only taxed on the gain, not the full sale price. Selling at a loss can be deducted, up to $3,000 per year, or carried forward to reduce future gains. Holding, transferring, or receiving crypto as a gift doesnt trigger a tax bill, but donating to charity may qualify for a deduction.The Daily News Now! — Every city. Every story. AI-powered. Hosted on Acast. See acast.com/privacy for more information.