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Crypto, tax and my fears

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by COINS NEWS 89 Views

Can anyone around from before the previous bull who sold into profit share any of their experiences doing tax when they cashed out?

I still need to do my homework on what the tax declaration for cashing out crypto would look like and what information needs to be gathered (the laws will probably also change between now and then), but I'm afraid that my lack of a paper trail in my earlier crypto dealings could get me in trouble (I haven't done this shit before haha).

My earlier dealings involved trading on binance and some defi with a lot of shitcoins, before trading them all for BTC at a loss, thinking that consolidating them into the 'safest' bluechip would be a good way of tracking my input (DCA on binance, then straight to a cold wallet) and if it skips the tax year just accumulating without cashing out might mean that the money put into crypto from before won't need to have a paper trail, but I'm unsure and maybe naive.

I guess what I'm wondering is in my early shitcoin dealings, which I have since lost track of over the years, which value now resides in my small BTC bag, will trip me up when it comes tax time (bull plzz) because I may not be able to produce a paper trail for

submitted by /u/theweeJoe
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