Quote from: ecliptic on March 01, 2014, 04:28:25 AM

Quote from: joeventura on February 28, 2014, 08:20:26 PM

Quote from: Paladin69 on February 28, 2014, 01:58:10 PM

Been away for a while. I am confused. Why do ppl want a btc refund? Take cash and buy more btc than you had before. Hasn't spot been mostly $800-1000 during most of the Neptune pre-order period?

When BTC turn into cash its a taxable event.

When more than $10k gets transferred into your account in the U.S. it fires off a red flag to the IRS

That is why KNC should refund back in the form it was paid in. But they are doing the opposite so that they can have credit for refunding in fiat. The more they have in BTC and the less they have in fiat the better they are too (less taxable events)

Bad news. It was a taxable event when you PURCHASED the miner, NOT when you refunded it.

Even if you keep your order, it's still taxable

There are tax provisions for buying an investment that for some reason becomes delayed and then isn't taxable until after the delay which, by the way I read it, would apply to buying the Neptune in 2013 then getting the refund in 2014. Haven't finished reading the taxes booklets yet (one here 284 pages) but I'm guessing a 2013 form 1099-(one or another of the 1099's) or perhaps f8949. Never having done the long form before it looks like one is suppose to preemptively file like an employer withholding taxes and should have filed last year. Can't use the downloadable forms in these cases as they need barcodes. The 1040 is for 2013. Mail order request of any of the 1099's come dated 2014 so I expect I'll need specifically request mail-order 1099's or f8949's and file the few bitcoin cash-in's or barters on 2013 forms and the Neptune refund on a 2014 form. If they get back that this isn't allowed, apparently one may make post-dated IRA contributions so that will mitigate the 2013 tax liability.