Bitcoin to Bank

[THam12]

So in the last 4 weeks, ive cashed out over $2000 via Bitcoin and transferred from coinbase to my bank account.
I have another withdraw about to go for around $550.

Is this something my bank my red flag? Or since it comes from coinbase they can't assume anything?

I'm American

[BigBusiness]

So in the last 4 weeks, ive cashed out over $2000 via Bitcoin and transferred from coinbase to my bank account.
I have another withdraw about to go for around $550.

Is this something my bank my red flag? Or since it comes from coinbase they can't assume anything?
I'm American

Better make sure you report it to the IRS if you go that route.

Because they WILL come after you.

[Snowball]

Bank won't red flag that much. Coinbase itself is the weakest link, not the bank.
Banks don't report under 10k unless you're under some other form of surveillance.
Coinbase is square.

[jjgold]

Better make sure you report it to the IRS if you go that route.

Because they WILL come after you.

no they will not dingbat

[Ebumdude]

Coinbase is viewed by the bank as a Money Exchange and that is all. No need for concern about the tax man, unless you deposit for more than $9500.

Cheers.

[Ebumdude]

no they will not dingbat

Lol.

[THam12]

Gracias to all

[bonusguy]

what about a bitcoin atm. could one use the straight from coinbase?

[hubie69]

no they will not dingbat

It is incredibly dangerous to think the IRS won't come after you for bitcoin (or any income stream, bitcoin or otherwise). Be aware there ARE tax implications for bitcoin. I would recommend you ask a tax professional for actual advice.

[goduke]

Or you could just pay taxes on your profit for the year. I always see these threads on here and think that these people who ask this must not have much to lose if they are trying to avoid taxes on 2500 bucks. I would never risk the fines, penalties and other things that could happen just to save a few bucks on 2500

[THam12]

Or you could just pay taxes on your profit for the year. I always see these threads on here and think that these people who ask this must not have much to lose if they are trying to avoid taxes on 2500 bucks. I would never risk the fines, penalties and other things that could happen just to save a few bucks on 2500

Where did I say I was avoiding taxes?
I simply asked if the bank would flag it

[RudyRuetigger]

hey bro

i recommend paying taxes

however, if you are down overall gambling...id just fukkin send to blockchain and then buy gift cards at us stores with the bitcoin

[RudyRuetigger]

hey bro

i recommend paying taxes

however, if you are down overall gambling...id just fukkin send to blockchain and then buy gift cards at us stores with the bitcoin

plus lets say you deposit with credit card over and over for $30,000 in a year

cash out $10,000 in bitcoin since it is easier

you are fukked for that 10k income even though you are down 20k

GET MY POINT?????????

[THam12]

plus lets say you deposit with credit card over and over for $30,000 in a year

cash out $10,000 in bitcoin since it is easier

you are fukked for that 10k income even though you are down 20k

GET MY POINT?????????

I feel you for sure. That's why I hate that line in the tax form... "Gambling income" or whatever it's called where you put it... Like listen here IRS I'm not up on the year so just stfu

[goduke]

Where did I say I was avoiding taxes?
I simply asked if the bank would flag it

Why would you care if they flagged it if you were paying taxes. It’s pretty implied here

[THam12]

Why would you care if they flagged it if you were paying taxes. It’s pretty implied here

I use an offshore book in which can be inferred as illegal activity and be flagged by bank.
Hard to get?

[RudyRuetigger]

you can try to do it all to make it 100% legal or pay someone like milwaukeemike whatever fee to look at every single fukkin receipt

the problem for the actual gambler is what i said:

credit card/**/ etc deposits...then cash out via bitcoin

you spent money on some transaction that is a loss for a good or service

you collected money from bitcoin which is completely separate and looks like a PROFIT

which, isnt coinbase now reporting to the govt?

many people could be screwed even though they are down

[RudyRuetigger]

you can try to do it all to make it 100% legal or pay someone like milwaukeemike whatever fee to look at every single fukkin receipt

the problem for the actual gambler is what i said:

credit card/**/ etc deposits...then cash out via bitcoin

you spent money on some transaction that is a loss for a good or service

you collected money from bitcoin which is completely separate and looks like a PROFIT

which, isnt coinbase now reporting to the govt?

many people could be screwed even though they are down

books are looking for easy ways for you to deposit and withdraw

you think they give 1 flying fukk if you get caught for tax evasion that you didnt even actually commit?

yea if you lose your ass for 200k in deposits, cash out 100k in bitcoin and are in court for that 100k because it looks like a bitcoin 100k profit, theyre not going to be sending a representative up to back you for that

NEITHER WILL SBR even though they also say how easy it is

[RudyRuetigger]

NOTE: if you deposit to books via bitcoin then disregard what i said as you will have all your info readily available to prove you are not committing tax evasion

[Bsims]

Just saying pay your taxes isn't that easy. Right now, every transaction involving bitcoin generates a tax event that should be reported. Transfer from Coinbase to Binance, 2 tax events (buy at Binance, sell at Coinbase). Deposit in a sports book, 2 tax events. Buy a slice of pizza, 1 tax event. The record keeping is a nightmare.

[krk1030]

Better make sure you report it to the IRS if you go that route.

Because they WILL come after you.

They would have no proof any of it is profit...

[Chi_archie]

They would have no proof any of it is profit...

why would Burden of proof be on IRS to prove anything?

[TheMoneyShot]

Just saying pay your taxes isn't that easy. Right now, every transaction involving bitcoin generates a tax event that should be reported. Transfer from Coinbase to Binance, 2 tax events (buy at Binance, sell at Coinbase). Deposit in a sports book, 2 tax events. Buy a slice of pizza, 1 tax event. The record keeping is a nightmare.

Mr. Sims.... I won't say anything if you don't say anything. Shhhhhh

[THam12]

Alright.... I have a large balance right now and trying to figure out best way. I don't mind paying taxes on it but how do I report it? It'll come from mybookie to coinbase (Bitcoin) and then I sell the Bitcoin. Can't I only be taxed on the return I make on the bitcoin?

[mrpapageorgio]

Alright.... I have a large balance right now and trying to figure out best way. I don't mind paying taxes on it but how do I report it? It'll come from mybookie to coinbase (Bitcoin) and then I sell the Bitcoin. Can't I only be taxed on the return I make on the bitcoin?

Based on what the IRS has published; list all of your gambling winnings as "Gambling Income" on line 21 of the 1040. Then you list your losses as "Gambling Losses" in your Schedule A under Other Miscellaneous Deductions.

https://www.irs.gov/newsroom/five-important-tips-on-gambling-income-and-losses-2012

Most of this stuff you don't have to worry about unless you get audited. Just reporting the income in of itself isn't likely to lead to an audit. So for example if you report $50k in gambling winnings, it's not a big deal. It's when you have a ton of deductions on your return that reduces your taxable income to nil is when eyebrows start getting raised and the odds of being audited get increased. Declaring $1 million in overall income with $950k in deductions is when people get audited.

IMO, if you do happen to get audited, I doubt they're going to dig further beyond you saying it was winnings from sports betting (there's plenty of people who win in Vegas without records and W2-Gs) as long as you have documented your wins and losses (and I don't even think they can go after you simply for gambling; the laws are more to go after the illegal bookies).

As for the Bitcoin enigma Bsims is mentioning, if you're strictly using Bitcoin as a medium of exchange and do the exchange same day, I wouldn't even worry about reporting that and just simply tell the IRS that was your medium of exchange for your gambling funds and didn't hold any if they audit you. If the numbers correlate, I doubt they're gonna dig that deep. It's if you decide to hold onto the Bitcoin is when you need to keep track of your basis in the Bitcoin then declare your losses/profit when you have a taxable event.

[ikid2groove415]

ATM bitcoin machine no trace - expensive fees tho- Everything going into your bank account can be trace

[BIGDAY]

THam has been Pounding the Winners!

[Sam Odom]

It's not so complicated to stay under the radar betting with BTC

Just takes time and getting off ones ass and doing a few things away from your house/ISP

[ikid2groove415]

Death and taxes is GURANTEE in life - Betting against the IRS is the worst bet in life -

[THam12]

Based on what the IRS has published; list all of your gambling winnings as "Gambling Income" on line 21 of the 1040. Then you list your losses as "Gambling Losses" in your Schedule A under Other Miscellaneous Deductions.

https://www.irs.gov/newsroom/five-important-tips-on-gambling-income-and-losses-2012

Most of this stuff you don't have to worry about unless you get audited. Just reporting the income in of itself isn't likely to lead to an audit. So for example if you report $50k in gambling winnings, it's not a big deal. It's when you have a ton of deductions on your return that reduces your taxable income to nil is when eyebrows start getting raised and the odds of being audited get increased. Declaring $1 million in overall income with $950k in deductions is when people get audited.

IMO, if you do happen to get audited, I doubt they're going to dig further beyond you saying it was winnings from sports betting (there's plenty of people who win in Vegas without records and W2-Gs) as long as you have documented your wins and losses (and I don't even think they can go after you simply for gambling; the laws are more to go after the illegal bookies).

As for the Bitcoin enigma Bsims is mentioning, if you're strictly using Bitcoin as a medium of exchange and do the exchange same day, I wouldn't even worry about reporting that and just simply tell the IRS that was your medium of exchange for your gambling funds and didn't hold any if they audit you. If the numbers correlate, I doubt they're gonna dig that deep. It's if you decide to hold onto the Bitcoin is when you need to keep track of your basis in the Bitcoin then declare your losses/profit when you have a taxable event.

This was my thought as well. Very helpful, thanks sir!!

[THam12]

THam has been Pounding the Winners!

Been a good year thus far!

[Sam Odom]

Been a good year thus far!

[unusialsusp5]

Death and taxes is GURANTEE in life - Betting against the IRS is the worst bet in life -

they only have about 17 people that actually work there anymore. you can lie, cheat, not report income, winnings and odds are 10,000-1 you will never get a response from them other than a letter in the mail which is only a scare tactic which if you ignore they do not have the personnel to follow up on it.

[Regul8er]

If your only transferring those small amounts, no one will bother you. Usually 5 figures is when you start getting some notice.

Your safe with your 3 figure transactions.

[ByeShea]

Instead of investing in Bitcoin - consider working in Bitcoin. No risk when it's other people's money. http://fortune.com/longform/nyse-own...hange-startup/