What are the tax implications of using, holding and selling GUAP (or any other crypto)

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The IRS considers virtual currencies like GUAP as property any transfer of ownership of that property can trigger a taxable event (similar to when possession of jewelry, a car, or a home is transferred). Please see below several links to resources on what this means for cryptocurrencies like GUAP.

 

IRS Virtual Currency FAQhttps://www.irs.gov/individuals/international-taxpayers/frequently-asked-questions-on-virtual-currency-transactions

 

IRS Official Rulings on Q1: Does a taxpayer have gross income as a result of a hard fork of a cryptocurrency the taxpayer owns if the taxpayer does not receive units of a new cryptocurrency? and Q2: Does a taxpayer have gross income as a result of an airdrop of a new cryptocurrency following a hard fork if the taxpayer receives units of new cryptocurrency?: https://www.irs.gov/pub/irs-drop/rr-19-24.pdf

 

Intuit TurboTax  “Tax Tips for Bitcoin and Virtual Currency”https://turbotax.intuit.com/tax-tips/tax-payments/tax-tips-for-bitcoin-and-virtual-currency/L1ZOgU00q

 

“Bitcoin Tax Guide”: https://www.doughroller.net/taxes/bitcoin-tax-guide/

 

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