just got a 1099-b; I am concerned

[TheMoneyShot]

Bitcoin was never intended to be anonymous. There is no "Satoshi Nakamoto." Bitcoin was a project that was developed back in the mid 90s by the security agencies in the US. It's all a ploy to replace the fiat dollar with a digital currency while making it look like it was some random guy not connected to the power players around the world.

I'm all about conspiracies myself.... but Bitcoin was out since 2009 or so... nobody mentioned anything about it....

Why the need to make it a 19.5k coin at one point? That was a bit excessive.

If anything... the new world order scheme is behind it.

[TheMoneyShot]

So you can receive bitcoin on blockchain and then transfer it to a bit pay card and use it like a credit card?
That sounds great my only concern is does it remain in bit coin or is it's converted to dollar amounts on the card based on the daily bit coin price

1. Have your Bitcoin in your Bitcoin wallet.

2. Make sure your Bitpay Card is active.

3. Log into your Bitpay Card acct.

4. Type in how much USD you want to send to the card. It will then tell you how many BTC to send to the card.

5. You get the BTC address.

6. Use your Bitcoin wallet and send the coins to the BTC address.

7. Bitpay will convert the Bitcoin to USD immediately.

8. Spend with the card. Swipe it for gas.... at a restaurant... go to the movies... pay a bill with it....

It's the best thing ever made.

[DISTROYA]

Sweet...thx just ordered one.

[Ebumdude]

1. Have your Bitcoin in your Bitcoin wallet.

2. Make sure your Bitpay Card is active.

3. Log into your Bitpay Card acct.

4. Type in how much USD you want to send to the card. It will then tell you how many BTC to send to the card.

5. You get the BTC address.

6. Use your Bitcoin wallet and send the coins to the BTC address.

7. Bitpay will convert the Bitcoin to USD immediately.

8. Spend with the card. Swipe it for gas.... at a restaurant... go to the movies... pay a bill with it....

It's the best thing ever made.

"Once you load the BitPay Card, it only holds a US dollar balance, and all purchases with the BitPay Card are denominated in US dollars. When you pay merchants or withdraw from ATMs using the BitPay Card, you are not transacting in Bitcoin or Bitcoin Cash. That means you don't have to do any extra for tax reporting for your everyday usage of the BitPay Card.But when you load the BitPay Card with dollars using Bitcoin or Bitcoin Cash, you are making a transaction which the IRS considers to be taxable under its digital currency tax guidance."


https://blog.bitpay.com/tax-tools/

[eaglesfan371]

1. Have your Bitcoin in your Bitcoin wallet.

2. Make sure your Bitpay Card is active.

3. Log into your Bitpay Card acct.

4. Type in how much USD you want to send to the card. It will then tell you how many BTC to send to the card.

5. You get the BTC address.

6. Use your Bitcoin wallet and send the coins to the BTC address.

7. Bitpay will convert the Bitcoin to USD immediately.

8. Spend with the card. Swipe it for gas.... at a restaurant... go to the movies... pay a bill with it....

It's the best thing ever made.

Lol bitpay is a regulated debit card. It is not like the debit cards sent by Bookmaker or other books which were rogue cards created in central american countries.

If you load over $20,000 to your bitpay card in a calendar year, the IRS will be notified and you will receive a 1099.

[Ebumdude]

Lol bitpay is a regulated debit card. It is not like the debit cards sent by Bookmaker or other books which were rogue cards created in central american countries.

If you load over $20,000 to your bitpay card in a calendar year, the IRS will be notified and you will receive a 1099.

Hence my above post. There is really only three ways to wash bitcoin to avoid taxes.

1) become a citizen of another country that doesn’t participate in sharing financial info with our IRS. Open a bank account, etc.

2) buy gold in another country with bitcoin and convert the gold to fiat via third party dealer

The third way which is the hardest and most unlikely, is through offshore LLC’s.

All information stated above is highly Googleable.

[TheMoneyShot]

"Once you load the BitPay Card, it only holds a US dollar balance, and all purchases with the BitPay Card are denominated in US dollars. When you pay merchants or withdraw from ATMs using the BitPay Card, you are not transacting in Bitcoin or Bitcoin Cash. That means you don't have to do any extra for tax reporting for your everyday usage of the BitPay Card.But when you load the BitPay Card with dollars using Bitcoin or Bitcoin Cash, you are making a transaction which the IRS considers to be taxable under its digital currency tax guidance."


https://blog.bitpay.com/tax-tools/

Who's to say I made a gain with that transaction? Perhaps I purchased Bitcoin and sent it to my card for jollies.

Bitpay isn't reporting anything.

[TheMoneyShot]

Lol bitpay is a regulated debit card. It is not like the debit cards sent by Bookmaker or other books which were rogue cards created in central american countries.

If you load over $20,000 to your bitpay card in a calendar year, the IRS will be notified and you will receive a 1099.

You think so? You don't know too much guy.

The 20,000 rule isn't applied to deb cards... it's required for cc processing etc.... in which you're taking in $ for a business.

[Ebumdude]

Who's to say I made a gain with that transaction? Perhaps I purchased Bitcoin and sent it to my card for jollies.

Bitpay isn't reporting anything.

Bro. That came from bitpay’s website...

[TheMoneyShot]

Bro. That came from bitpay’s website...

Bitpay is a PAYMENT PROCESSOR to accept Business payments.

We are talking about the BITPAY deb card. It's 2 different divisions of BITPAY.

The article is for Bitpay Merchant Processing.... scroll down and read it.

[Ebumdude]

Bitpay is a PAYMENT PROCESSOR to accept Business payments.

We are talking about the BITPAY deb card. It's 2 different divisions of BITPAY.

The article is for Bitpay Merchant Processing.... scroll down and read it.

I scrolled as suggested and read this;

“But when you load the BitPay Card with dollars using Bitcoin or Bitcoin Cash, you are making a transaction which the IRS considers to be taxable under its digital currency tax guidance.”

[TheMoneyShot]

I scrolled as suggested and read this;

“But when you load the BitPay Card with dollars using Bitcoin or Bitcoin Cash, you are making a transaction which the IRS considers to be taxable under its digital currency tax guidance.”

Cool. I'm not worried about it. Doesn't pertain to me.

[Optional]

Lol bitpay is a regulated debit card. It is not like the debit cards sent by Bookmaker or other books which were rogue cards created in central american countries.

If you load over $20,000 to your bitpay card in a calendar year, the IRS will be notified and you will receive a 1099.

This is completely incorrect.

You have been repeating this BS across the forum like a panic merchant trying to scare people.



Merchant accounts are what get a 1099-K if they do over 200 transactions AND 20K in one year.

Plenty of end users of the BitPay card have transacted much more than 20K a year, over multiple years, and not received a tax form.




If anyone wants some advice on managing your tax position as a Bitpay card user, here's what Bitpay say: https://blog.bitpay.com/tax-tools/

[Ebumdude]

This is completely incorrect.

You have been repeating this BS across the forum like a panic merchant trying to scare people.



Merchant accounts are what get a 1099-K if they do over 200 transactions AND 20K in one year.

Plenty of end users of the BitPay card have transacted much more than 20K a year, over multiple years, and not received a tax form.




If anyone wants some advice on managing your tax position as a Bitpay card user, here's what Bitpay say: https://blog.bitpay.com/tax-tools/

Same link I posted above. Thanks.

[big joe 1212]

You report 1099-B transactions on Form 8949 which flows to your Schedule D.

Checkmark box B which states the basis was not reported to the IRS.

You write in description, dates, proceeds, basis, gain/loss.

So actually, you can report a capital gain loss (up to 3k) if you lost money due to the fees and fluctuations.

[mrpapageorgio]

Itbit gave you the 1099? interesting.....

Well... guess we won't be using them.

I remember reading Itbit will send you a 1099 even if you sell $1 in Bitcoin with them. Never used them once I read that.

[jose21_us]

I doubt you will get audited

[TheMoneyShot]

I remember reading Itbit will send you a 1099 even if you sell $1 in Bitcoin with them. Never used them once I read that.

Glad I never signed up with them. It's a shame for any Bitcoin vendor to do that to you. It's just overall bad business. These companies trying to save their own ass... the other side of the coin is... once word gets out... why should you do business with them? Customers need protection (within reason) as well.

Furthermore, the paperwork per each acct would be astronomical. That wasn't the IRS's intention to begin with. They want the people who are moving 100k+ to file. And they aren't filing.

[DISTROYA]

excellent info and advice...thank you all. will keep posted and fingers crossed.
Closing itbit account also. Dont need this stress.

[chico2663]

last year i took out over 20,000 in 3 installments months apart. I sent thru my bank and never received a 1099. It may be because I have some renewals from selling years ago. Also disability policy that i don't have to pay taxes on.

[DISTROYA]

Eagerly awaiting the arrival of the bit pay card. So will over 20K trigger the same stupid shit 1099 like itbit?

[Optional]

Eagerly awaiting the arrival of the bit pay card. So will over 20K trigger the same stupid shit 1099 like itbit?

You won't be happy.

But check this thread

https://www.sportsbookreview.com/forum/sportsbooks-industry/3528331-no-bitpay-card-cash-withdrawals-starting-march-8th.html

[TheMoneyShot]

Eagerly awaiting the arrival of the bit pay card. So will over 20K trigger the same stupid shit 1099 like itbit?

Again... it's classified as a deb card. The 20k 200 transactions everyone is talking about is if you're a business... and using Bitpay as a Merchant acct. Another example.... you are a seller on Ebay and using paypal as a merchant processor.

If you ordered a Bitpay deb card... you aren't taking payments... you're just loading your card. Entirely different process.

[DISTROYA]

thx money, but i read this:

But when you load the BitPay Card with dollars using Bitcoin or Bitcoin Cash, you are making a transaction which the IRS considers to be taxable under its digital currency tax guidance.

[Ebumdude]

thx money, but i read this:

But when you load the BitPay Card with dollars using Bitcoin or Bitcoin Cash, you are making a transaction which the IRS considers to be taxable under its digital currency tax guidance.

Same info I posted above....lol. Money doesn't get it...

[billyloco]

SBR has some sharp dudes who know their "shitt"!!!

[Optional]

thx money, but i read this:

But when you load the BitPay Card with dollars using Bitcoin or Bitcoin Cash, you are making a transaction which the IRS considers to be taxable under its digital currency tax guidance.

That doesn't mean BitPay issue a 1099.

Just that it is considered a Bitcoin sale that you should be reporting for tax purposes.

The 20k and 200 transacations is the reporting threshold for business accounts only, just like TMS says.

[TheMoneyShot]

thx money, but i read this:

But when you load the BitPay Card with dollars using Bitcoin or Bitcoin Cash, you are making a transaction which the IRS considers to be taxable under its digital currency tax guidance.

That doesn't mean BitPay issue a 1099.

Just that it is considered a Bitcoin sale that you should be reporting for tax purposes.

The 20k and 200 transacations is the reporting threshold for business accounts only, just like TMS says.

Great post Optional

Just adding to it...

Bitpay still "in general" has to try and cover their own a$$. Legally, Bitpay doesn't have to issue "BY LAW" a 1099 for Bitpay deb card use. In fact, google it anywhere.... any deb card for any other bnk... there's no such thing. Technically, Bitpay is still classified as a prepaid deb card. There are no US laws for a prepaid deb card.

That link you posted is for another section of Bitpay... and it's strictly for "merchant processing". You don't take money in by way of another person paying you with a CC. You don't have anything to worry about.

[TheMoneyShot]

Same info I posted above....lol. Money doesn't get it...

Exactly... what don't I get? I know more than you think guy.

Are you the type of guy that takes a piss outside in public and tells the police I just urinated.... um handcuff me? Get real pal.

The topic of this thread is... Will Bitpay send me a 1099 for using my deb card? The answer is No.

[eaglesfan371]

God I fukked myself. Next year I’ll have to deal with 2 stupid 1099-B from an overly sensitive exchange who issues 1099-B for every sale. I asked if I could wire the money back and rebuy will that cancel them being issued, nope. Stupid fuks. Pissed off. Thank god for moneyshot alerting me to this IRS best friend, loving company.

Luckily have cash deposit receipts to barely cover it. Imagine if you were a cash deposit guy and you threw out your receipts. The IRS would say show proof of your bitcoin purchases and I would be fukked and owe tax on the whole stupid 1099B amount.

FUK AMERICA I WISH I COULD MOVE TO EU

[Auto Donk]

be responsible with all tax documents requiring you to report income:

[DISTROYA]

already nearing 20k bitpay via payouts. So I guess over 20k wont trigger 1099 like the itbit nightmare dealing with now? Last thing I need is another one of these.

[Auto Donk]

already nearing 20k bitpay via payouts. So I guess over 20k wont trigger 1099 like the itbit nightmare dealing with now? Last thing I need is another one of these.

report the income, when your software asks for gambling income; report a slightly higher number, by about 200-300 bucks, when the next screen pops the question "gambling losses? enter them here".....

nightmare over

[Ebumdude]

Exactly... what don't I get? I know more than you think guy.

Are you the type of guy that takes a piss outside in public and tells the police I just urinated.... um handcuff me? Get real pal.

The topic of this thread is... Will Bitpay send me a 1099 for using my deb card? The answer is No.

You have excellent reading comprehension.

[eaglesfan371]

already nearing 20k bitpay via payouts. So I guess over 20k wont trigger 1099 like the itbit nightmare dealing with now? Last thing I need is another one of these.

I'm staying out of it but I believe its 200 transactions (deposits) + $20k or more as minimum requirement to issue 1099. If Bitpay follows that rule, then you're okay I assume. I do not know what they consider transactions, is an ATM withdrawal a transaction or just when bitcoin is sold to load your card? TheMoneyShot will likely have this answer.

ItBit goes above the IRS requirement and sends a 1099 for every sale, which is ridiculous. They are the only exchange I am aware of that does this.