So how do we cash out now? If need be obviously.
This is totally un-documentable BS, since nobody knows what you are doing on Kijiji or whatever with your friends and Bitcoins.
In fact being stupid or greedy enough to need to be reporting it as "investment income" or "investment losses" should be the crime.
In the USA the "Over the Counter,
funded Credit Default Swap" derivatives (OTC
fCDS) are totally tax free
"deregulated" mediums of swap-transaction. (eg: a marginal cost, basically zero-sum instrument)
http://en.wikipedia.org/wiki/Commodity_Futures_Modernization_Act_of_2000A "funded" CDS (Credit Swap) is simply an instrument where you fund someone else's "default loss" to be compensated for that by the next owners funding of your "default loss". It's just a rubber cheque that people can all play "bounce" with, and fortunately for us all, it is also the intrinsic nature of a BTCitcoin.If it's value changed while it was in the air, who's to say if you lost or gained or what else was involved at the time when you swapped them in or out and back in from elsewhere?
Who could determine your costs for one you've sold or still have, or it's "new" value if you haven't sold it yet?
Who can prove you didn't barter your granny's sewing machine for more of them?
Can an exchange know you weren't cashing in or buying them for somebody else?
use your wallets and transfers at all those exchanges you can, often, problem solved...