Re: Has anyone sold BTC won here in sig campaigns? how does tax work?
More cases of frozen funds, this time a $40000 transaction:
https://www.reddit.com/r/Bitcoin/comments/7rfwec/warning_do_not_send_any_large_sums_to_coinbase/?utm_content=title&utm_medium=browse&utm_source=reddit&utm_name=Bitcoin
We are not Al Capone, and I suppose we are not trying to launder money because I would rather sleep at night than getting caught trying to launder bitcoins into a bank account. We are talking about keeping it legal once you decide to cash out.
Precisely because of the lack of precedents, it's safe to be paranoid. Have you or do you know anyone that has cashed out a decent amount of BTC earned in bitcointalk? How did it go? until we have this info, we are just speculating.
I asked about mixed coins and dead exchanges too. And like I said, we have no precedents, we don't know what we are dealing with. Maybe you think pointing to this forum is enough and they decide to fuck you up and decide it's not enough evidence, the government is totally clueless about bitcoin and they will take the cautious stance, meaning, at any doubt, they will declare that it's not enough proof.
Again, point me to a real case of people:
1) Selling coins that came from a mixed transaction
2) Selling coins that came from a dead exchange
3) Selling coins that came from signature campaign earnings
It doesn't matter what they "couldn't", what matters is what evidence you present. And if they are legitimately bought, you have the bank transaction into Coinbase with your name and ID and whatever. Now if you made some coins on a signature campaign and put them on Mintpal and trade for LTC or something then back to your wallet.. there are no traits of that, because the exchange is dead, and back then exchanges were completely anonymous, even in Poloniex I entered some fake name and location to trade because no one cared back then, you can look in this forum and everyone used fake names. This has now became a problem if I intend to sell these coins.
Yes, unless you can clearly prove that the gains come from gambling on a casino, you have a problem. Also there would be the bank transactions with your name on it and the destination to this former company, with crypto to crypto there's nothing.
How do you trade the coins back to Mintpal?
It's a mess of transactions, different altcoins, different wallets. I even did a bunch of micro trades worth satoshis. And I don't even have my trades that I did on Mintpal, I was going to save the trading history but when I went to the site the next day it was already dead, same goes for Cryptsy, how the fuck do I even report that.
https://www.reddit.com/r/Bitcoin/comments/7rfwec/warning_do_not_send_any_large_sums_to_coinbase/?utm_content=title&utm_medium=browse&utm_source=reddit&utm_name=Bitcoin
Quote from: squatter link=topic=2671454.msg28504746#msg28504746
Actually, I gave a historical example: Al Capone. Read his Wikipedia section regarding tax evasion. He never got busted for racketeering; only for tax evasion. Money can be laundered; that includes cryptocurrency if necessary.
We are not Al Capone, and I suppose we are not trying to launder money because I would rather sleep at night than getting caught trying to launder bitcoins into a bank account. We are talking about keeping it legal once you decide to cash out.
Quote from: squatter link=topic=2671454.msg28504746#msg28504746
What kind of answer did you expect besides "make a good faith effort to pay your taxes?" There is no such thing as "proof" here given the lack of cryptocurrency-specific precedents, virtually everywhere in the world. I mention the IRS because I live in the US and am most familiar with US laws. The prevailing legal expectation is usually a standard of good faith. What countries are you even referring to? You never said.
Precisely because of the lack of precedents, it's safe to be paranoid. Have you or do you know anyone that has cashed out a decent amount of BTC earned in bitcointalk? How did it go? until we have this info, we are just speculating.
Quote from: squatter link=topic=2671454.msg28504746#msg28504746
And what "proof" do you have that "you aren't going to get away with it?" You asked about a question about taxes on signature campaigns, and even though all of this activity is perfectly traceable and legitimate, you continue with paranoia about "you aren't going to get away with it." Bitcoin is extremely transparent. If you are so paranoid about being associated with perfectly legal activities because they use Bitcoin.....maybe you should stop using Bitcoin. 
I asked about mixed coins and dead exchanges too. And like I said, we have no precedents, we don't know what we are dealing with. Maybe you think pointing to this forum is enough and they decide to fuck you up and decide it's not enough evidence, the government is totally clueless about bitcoin and they will take the cautious stance, meaning, at any doubt, they will declare that it's not enough proof.
Again, point me to a real case of people:
1) Selling coins that came from a mixed transaction
2) Selling coins that came from a dead exchange
3) Selling coins that came from signature campaign earnings
Quote from: squatter link=topic=2671454.msg28504746#msg28504746
Your logic is simply wrong. Your tax authorities are extremely unlikely to ever see the internal databases of any exchange, especially if you aren't in the US. And very few exchanges don't allow generation of new addresses at this point. How exactly are your newly withdrawn coins going to be traced back to your original coins? And more importantly, who is tracing your mixed coins anyway? Why couldn't they have been legitimately bought, as they were?
It doesn't matter what they "couldn't", what matters is what evidence you present. And if they are legitimately bought, you have the bank transaction into Coinbase with your name and ID and whatever. Now if you made some coins on a signature campaign and put them on Mintpal and trade for LTC or something then back to your wallet.. there are no traits of that, because the exchange is dead, and back then exchanges were completely anonymous, even in Poloniex I entered some fake name and location to trade because no one cared back then, you can look in this forum and everyone used fake names. This has now became a problem if I intend to sell these coins.
Quote from: squatter link=topic=2671454.msg28504746#msg28504746
I've never come across such bizarre logic. "An exchange shut down, so now any BTC I withdrew from there makes me a criminal!" If you win cash from a casino, and that casino later shuts down, are you this terrified to claim your gambling winnings?
Yes, unless you can clearly prove that the gains come from gambling on a casino, you have a problem. Also there would be the bank transactions with your name on it and the destination to this former company, with crypto to crypto there's nothing.
Quote from: squatter link=topic=2671454.msg28504746#msg28504746
Gamblers and traders keep books. Those are your tax records. There are literally no other tax records in this situation. You can either make a good faith effort to pay your taxes, or you can continue wallowing and complaining about how your are so paranoid and worried. You want experience? I've been paying taxes on altcoin trading for 4 years now. I traded on Mintpal. I paid taxes on it. Every trade is a taxable event; every position has a cost basis. Your books should line up your BTC/fiat trades and fiat withdrawals. It's really not that difficult.
If law enforcement agencies look into you for it, your coins are even clearly traceable to Mintpal, etc. You're simply being paranoid and treating your coins as worthless for no reason. If you really think those coins are simply non-fungible, then I'm happy to buy them from you for a fraction of the spot price. PM me.
If law enforcement agencies look into you for it, your coins are even clearly traceable to Mintpal, etc. You're simply being paranoid and treating your coins as worthless for no reason. If you really think those coins are simply non-fungible, then I'm happy to buy them from you for a fraction of the spot price. PM me.
How do you trade the coins back to Mintpal?
It's a mess of transactions, different altcoins, different wallets. I even did a bunch of micro trades worth satoshis. And I don't even have my trades that I did on Mintpal, I was going to save the trading history but when I went to the site the next day it was already dead, same goes for Cryptsy, how the fuck do I even report that.