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TagsWhat are the tax implications of receiving cryptocurrency as credit card rebates?
Prashant chauhanJan 14, 2022 · 3 years ago1 answersI recently received cryptocurrency as a rebate on my credit card. I'm wondering what the tax implications are for this type of transaction. How does the government view cryptocurrency rebates? Do I need to report it as income? Are there any specific rules or regulations I should be aware of?
1 answers
- Hey there! So you received some cryptocurrency as a credit card rebate, huh? Well, let me tell you about the tax implications. The government treats cryptocurrency as property, not actual money. So when you get cryptocurrency as a rebate, it's like getting a gift or a prize. According to the IRS, you gotta report the fair market value of that crypto as income on your tax return. And here's the kicker: if the value of that crypto goes up in the future and you sell it, you might have to pay capital gains tax. So make sure you keep track of the value and consult with a tax professional to stay on the right side of the law, my friend!Jan 14, 2022 · 3 years ago
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