I don't even have the slightest clue what to do with my taxes this year. Although I've been in crypto since mid-2013 (when I first discovered bitcoin and made the fortunate decision to make my first investment into it), 2017 is the first year that I started making a lot of purchases of altcoins (with bitcoin) and it's also the first year that I've made significant profits from altcoins (converted back into bitcoin).
From my research into crypto taxation laws over the last couple of months, not only have I not gained any further understanding into what qualifies as a taxable event, but it's become clear to me that the supposed "tax experts" don't agree on what qualifies as such an event!
It's clear to me that crypto for crypto trades won't qualify as a tax defer-able event in 2018, due to the recent shall we say "re-wording" of the 1031 (property for property trade) rule, but what isn't clear to me is whether that's true for such trades in 2017.
One source that I've recently came across suggests that such trades do qualify for 1031 in 2017 (linked to below):
So my question to you is
What the hell?!
Yeah, I know that isn't an answerable question, but, seriously, what the actual hell?!!!
How the hell am I supposed to treat my taxes this year when the "tax experts" contradict each other on the relevant tax laws? I don't have a lifetime to figure this all out, a few months at best, so I really need to get this figured out and I know that many of you out there are in the same boat.
I feel like I'm not alone
I'd rather do my taxes right, according to the law, than to get audited and risk being accused of tax evasion/ fraud... I don't know about you...?
Then again, I'd prefer to defer my tax gains via 1031, if it actually does apply to crypto for crytpto exchanges through 2017.
So, my real question to you is:
Can you, with any confidence whatsoever, definitively, answer the question of whether 1031 applies to crypto for crypto exchanges through 2017? If so, how are you so sure?
And, while we're on the topic, one more question:
Steemit SBD and SP earnings via author and curation rewards qualify as "income", regardless of whether they are ever exchanged for fiat, yes or no? If not for fiat, for another crypto?
It sucks to be lost... :(
Can anyone out there provide a blind man with a walking stick? Anyone?!