Check out the tax chart I found. What tax bracket are you in for selling bitcoin in 2024 if you live in the US?
1. Assuming you held bitcoin for over a year.
2. You’re single and not earning anything else in 2024 except from bitcoin sales.
If you sold long-term bitcoin worth $100K and made a profit of $45K, does that mean you owe zero taxes this year according to the chart?
I wouldn’t just rely on one chart to figure this out. Even if you end up with $0 tax, you still gotta file a return. Better to consult a tax pro to deal with all the details.
But you gotta remember, this is INCOME, not just long-term capital gain income.
If you’ve got a taxable income of $50K from a job, you’ll owe at least 15% on any profit from selling anything with long-term capital gains.
I already mentioned there’s NO other income in 2024 besides possible capital gains from selling bitcoin.
Seriously, how hard is that to grasp? You gotta work on your reading skills.
Even if you owe zero tax, make sure you report it to the IRS.
Don’t think you can skip reporting capital gains just because your tax bill is zero. I have to pay VAT no matter how little I sell.
What’s with the insults? Respect is key, man.
Disagreeing is fine, but you gotta keep it civil. You should be showing respect to respected members here like @zasad and @DaveF.
Nah, it’s not about respect, it’s common courtesy.
He asked a question; I gave a nuanced answer. It was basically a yes with some conditions. Just don’t let it bother you, it’s just online.
You handled that pretty well. I think most of us can agree that getting upset over a random internet argument isn’t worth it.
If someone’s a problem, just hit the ignore button.
Maybe you should learn to respect others by accurately reading questions before jumping in.
It doesn’t matter how long you’ve been around, if you can’t get the basics right. What are you, 12?
Appreciate the respectful reply.
It’s pointless to turn the forum into a battleground when we should be discussing stuff openly. I’ve seen threads go off the rails like that, not cool.
Honestly, you’re the one who seems confused!
Just one chart? Those IRS numbers show profits under $47,025 aren’t taxed.
You’re asking if $45K profits get taxed. Do you get it or what?
Hey everyone, let’s clear this up since it’s my area of knowledge.
Your capital gains tax rate is based on total income. If your only income is from crypto, and you sold it at a gain, you can use the tax bracket to calculate tax due.
Just so you know, you might get audited.
When you sold that $100K worth of bitcoin matters a lot. If you sold it in January with a long-term gain, it makes sense to say you lived off the sale. But selling in December? They’ll want proof of how you survived all year.
Living in the USA is tough, man.
In Russia, they’re trying to figure out the shadow economy, but people get by without official records. At least there, inspectors don’t usually grill you about how you live.