Crypto (or any investment tax question).?
I think its a simple question but I am still new to the investment world. Let say in invest 1000 dollars into cryptocurrency and I made a gain of 200 dollars. Now I'm sitting on 1200 dollars and I decide to withdraw the entire amount. Will I get tax with the 200 dollar gain or for the entire amount?
- Anonymous1 month agoFavorite Answer
Only on your gain.
- StephenWeinsteinLv 71 month ago
If you report it correctly, then you are taxed only on the gain.
If you do not report it, then you are taxed on the full amount plus you are charged a penalty for not reporting it.