Can I avoid capital gains tax by gifting cryptocurrency?

3 answers

• McCall HullAug 22, 2024 · a year ago
  Legally, gifting cryptocurrency does not exempt you from paying capital gains tax. According to the IRS, gifting cryptocurrency is considered a taxable event, and the recipient will be responsible for paying taxes on any gains when they sell or exchange the gifted cryptocurrency. It's important to consult with a tax professional to understand the specific tax implications of gifting cryptocurrency in your jurisdiction.
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• lorisMay 01, 2024 · a year ago
  No, gifting cryptocurrency does not allow you to avoid capital gains tax. The IRS treats the transfer of cryptocurrency as a taxable event, and any gains made on the gifted cryptocurrency will still be subject to capital gains tax. It's essential to report any gains accurately and consult with a tax advisor to ensure compliance with tax laws.
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• jjsquaredDec 31, 2023 · 2 years ago
  While I am not a tax professional, it's important to note that gifting cryptocurrency may not necessarily help you avoid capital gains tax. The tax laws surrounding cryptocurrency can be complex and vary depending on your jurisdiction. It's advisable to consult with a tax expert who can provide guidance based on your specific circumstances. Remember, it's always better to be compliant with tax regulations to avoid any potential penalties or legal issues.
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