Cause I'm The Tax Man

**Courtesywipe** · 02-01-18, 11:00 AM

Originally posted by Roscoe_Word

You guys must have received a Coinbase/GDAX 1099K form.

It was speculated that only activity over a certain amount
(I think it was $20,000 would be reported)

“You are receiving this email because our records indicate that your GDAX / Coinbase account meets the threshold for tax reporting. As a result, we will be submitting a 1099K to the
IRS on your behalf.”

Really, Coinbase, thanks anyway, but I’ll take care of that.

Box 1A is gonna be misleading to one’s
accountant. It’s only a “transaction amount” figure, but I suspect my state,
thanks to Coinbase’s unasked for submittal, will think its gross income and “whack
it” as much as possible.
The online sportsbetting endeavor is still a good thing, and I’m just venting a bit. I appreciate the tons of help I've gotten in this forum.

Is this for selling? Buying? Or both?

**Roscoe_Word** · 02-01-18, 11:11 AM

Originally posted by Courtesywipe

Is this for selling? Buying? Or both?

Both, I think. Cause my Box 1A has a (to me) big figure, giving me the impression that it is "transaction amounts." However, I'm getting a feeling my accountant is gonna think its a "gross income" number, and start asking questions.

Gotta say I was warned about this potentiality with Coinbase on this forum, but I thought the "transaction figure" required for reporting to the IRS and Dept of Revenue was much higher than my small amount.

**Optional** · 02-01-18, 01:01 PM

Do you think you have transacted under 20k total?

**Roscoe_Word** · 02-01-18, 01:33 PM

Originally posted by Optional

Do you think you have transacted under 20k total?

Yea, Box 1A reads only $1,600, Opti. And that's only transactions, not gross profit. Only thing I can think of is:

A) The $20,000 figure I remember seeing somewhere a while ago was incorrect or

B) My state (Mass) is tax-happy and through back-door legislation compelled Coinbase to cough up the info.
Although that doesn't explain CB releasing crypto transaction data to the Feds.

These are just nickles and dimes, but I figured I'd check in to this thread, report what went down, and see if anyone else got this in their email.

**Optional** · 02-01-18, 01:46 PM

Sheesh.

I can hardly wait for the flood of posts about this if everyone is getting one.

And I bet they won't sound half as reasonable as you.

Hopefully your accountant will know how to deal with it properly.

**Legions36** · 02-01-18, 02:45 PM

Originally posted by Roscoe_Word

Yea, Box 1A reads only $1,600, Opti. And that's only transactions, not gross profit. Only thing I can think of is:

A) The $20,000 figure I remember seeing somewhere a while ago was incorrect or

B) My state (Mass) is tax-happy and through back-door legislation compelled Coinbase to cough up the info.
Although that doesn't explain CB releasing crypto transaction data to the Feds.

These are just nickles and dimes, but I figured I'd check in to this thread, report what went down, and see if anyone else got this in their email.

It is because your in Mass: For Massachusetts and Vermont customers only: Coinbase Inc. provides Forms 1099-K to GDAX customers that received at least $600 cash for sales of cryptocurrency in a calendar year. If such user has met these criteria in a calendar year, the aggregate amount of all the user’s transactions for such year will be reported on Form 1099-K Box 1a. This information will be filed with the Massachusetts and Vermont taxing authorities and will not be furnished to the IRS.

**Legions36** · 02-01-18, 02:51 PM

If u guys want more info on this u should just google "coinbase 1099-k" then look at the reddit threads with all the people that talk about this, its kinda hard to explain. But if u don't live in those 2 places its just for 2017 going forward its 20k in transactions and 200 transactions. If u get that letter u need to add up all the stuff for 2017 then find if your at a loss or win then report it or that's on you. They said coinbase already sent out all the emails to the people they will send those forms to the IRS for 2017 on Jan 31st, if u didn't get one then i think your good.

**Roscoe_Word** · 02-01-18, 03:05 PM

Originally posted by Legions36

It is because your in Mass: For Massachusetts and Vermont customers only: Coinbase Inc. provides Forms 1099-K to GDAX customers that received at least $600 cash for sales of cryptocurrency in a calendar year. If such user has met these criteria in a calendar year, the aggregate amount of all the user’s transactions for such year will be reported on Form 1099-K Box 1a. This information will be filed with the Massachusetts and Vermont taxing authorities and will not be furnished to the IRS.

Excellent explanation, Legion. Thanks a lot. Didn't know I made over $600 in BTC buying. Warren Buffet eat my dust.

**BrickJames** · 02-01-18, 04:47 PM

I bought all my btc through localbitcoins with cash!

Good luck with that lol

**SharpAngles** · 02-01-18, 05:15 PM

Originally posted by BrickJames

I bought all my btc through localbitcoins with cash!

Good luck with that lol

Smart man

Local bitcoins and a few BTC ATMs is all anybody needs to fly way under the radar.

Never understood giving my ss# to a crypto exchange, fuk that headache.

**mtneer1212** · 02-01-18, 06:42 PM

Originally posted by Legions36

It is because your in Mass: For Massachusetts and Vermont customers only: Coinbase Inc. provides Forms 1099-K to GDAX customers that received at least $600 cash for sales of cryptocurrency in a calendar year. If such user has met these criteria in a calendar year, the aggregate amount of all the user’s transactions for such year will be reported on Form 1099-K Box 1a. This information will be filed with the Massachusetts and Vermont taxing authorities and will not be furnished to the IRS.

Keep voting for Democrats.......

**relaaxx** · 02-01-18, 07:15 PM

don't mind the extra tax at all. great social services to help those who need it, paid mostly by the richest people in the state. and unlike the republicans don't lie continuously then back each other on the same lie over and over. word for word along with fox news. and then the biggest jackass of all,trump. not enough time in a day to mention all his stupid shit. but if you like his tax plan and make less than 100,000 a year you are just as stupid. sorry for the rant. tried to keep it short. just don't like the jab at democrats in a sports forum.

hopefully back to sports.

**milwaukee mike** · 02-02-18, 08:33 AM

even if you didn't get a form, you should be reporting transactions... i put them down on Schedule D as one line item, i just say "bitcoin transactions" with a sales amount and cost

otherwise, just like those prior years, irs is gonna subpoena the records and if you sold 30k and there is no 30k listed anywhere on your return, the cost basis becomes 0 and it's all profit... easier to show the actual sales/cost basis up front

**michael777** · 02-02-18, 09:15 AM

Originally posted by mtneer1212

Keep voting for Democrats.......

100% correct

**Greenline** · 02-02-18, 08:10 PM

Originally posted by BrickJames

I bought all my btc through localbitcoins with cash!

Good luck with that lol

This and Paxful. Coinbase is the BkofAma of American Crypto.