You just made $500,000+ in 2 months from Steem cupcake photos and secret stories.
Congratulations you are now an ideal target for a tax audit
Yes, at least in the USA the chances of tax audits rise once you get over that 250k mark.
Congratulations you now have to deal with Steem exchange risk
Okay this is not necessarily a bad thing but it requires a bit of planning. If you are like me, you may be converting most if not all of your Steem Dollars to Steem and powering it up. But if you just got awarded 5100,000+ then you are in for a huge tax bill.
In this case, you have to keep in mind that Steem Power takes 2 years to get back.
You should at least keep 60% of your Steem Dollars and let them earn interest (about 10% APR apparently), then look to start converting them into USD or Euros (or whatever) some months before taxes so that you do not move the market in one big dump.
Alternatively, if all of your SMD are converted to Steem Power, there is a more than good chance that come tax time you may be short (assuming of course that you report any of this as income and not treat it like winning money in a game of Monopoly).
I'm all in @Steem Powered Up
Well, let's say you don't care and you want to go all in. In that case I recommend that you talk to someone about creating some sort of trust or getting tax residency in some place with very low tax rates.
With your $500,000+ you're well on your way to being a multi-millionaire thanks to Steem and there are lots of places to travel in a year, write about them, and make sure not to stay long enough to establish tax residency.
Plan now and avoid having to dump your Steem Power later!!!
Disclaimer: I am not an attorney, tax advisor or accountant in any jurisdiction, please check with professionals before doing anything written in this article.