SgtFuryUSCZ Posted September 15, 2012 Report Share Posted September 15, 2012 (edited) ***/// As the Dinar information stew seems to be boiling to the top of the pot, the debate as to whether or not it is a taxable event is being revisited all over the place. Asset...? Tax it. Currency exchange...? Don't tax it. Convert to USD...? Tax it. Convert to a BRIC currency...? Don't tax it. Sarge'sGals having Bloody Mary's, but that's not what's contributing to our confusion this time! Somebody HELP! Edited September 15, 2012 by SgtFuryUSCZ Link to comment Share on other sites More sharing options...
gatoraces Posted September 15, 2012 Report Share Posted September 15, 2012 at this point, i don't care. just like to see something happen. if they want half of it, so be it. Link to comment Share on other sites More sharing options...
SgtFuryUSCZ Posted September 15, 2012 Author Report Share Posted September 15, 2012 ***/// We probably should've put this in the TAX SECTION, but thought it'd get more play here instead of a place which usually gets overlooked by drive-by DVers. (guilty as charged ) Apologies to our awesome MODS. Link to comment Share on other sites More sharing options...
Sweetgirl1956 Posted September 15, 2012 Report Share Posted September 15, 2012 You need to read the tax code. Publication 525, Page 33. Foreign currency transactions. If you have a gain on a personal foreign currency transaction because of changes in exchange rates, you do not have to include that gain in you income unless it is more than $200. If the gain is more than $200m report it as a capital gain. The m after the $200 was a typo. It is taxable if you make more than $200. Period 1 Link to comment Share on other sites More sharing options...
MFNGPTYLTD Posted September 16, 2012 Report Share Posted September 16, 2012 Yes here in Australia you get taxed 48cents in every dollar so my Financial adviser tells me not that I trust them and accountants much these days I read the Midas Touch by Donald Trump and Robert kiyosaki and that tells me to get off my ass and do a little investergating and learning so now i do and go from there after a few bad calls from people like this so do some homework. I was talking to a Lady friend the other day and her and hubby have 20mill each and she has been searching the top accountants and she said she has it down to 23cents to the dollar and will tell me more when I get over to see her will be soon before she forgets and anything happens. My advice is to search out good accountants in your country and see what can be done you may have to form a Company Corporation I did that here and a trust and shares about a year ago done on the net and and it cost 500 dollars, so its not that dear you will save more never have much in your name of a company name have most in a trust and trust acc with no name, no one can sue or claim it without a name make a will and leave it to your kids in the mean time you can use it for yourself pay yourself a wage a good one if you buy a house then do so through the trust which will end up with the kids, wife or whoever you leave it to in a will. split it the way you want in the will and leave a couple of copies to people you trust.Or join OSI in theDinar Vets and form a company which I also did. You would be and should be the only person to blame if you lose to much money from all this no excuses just do it and save youself some extra.Its not hard I dropped out at school at 14 and now after so many stuff ups and lost 400k in bad advice I now now better like everything you must know the right questions to ask they all rip you off. I'm still learning never stop. Link to comment Share on other sites More sharing options...
Heck Posted September 16, 2012 Report Share Posted September 16, 2012 Go Figure, My accountant, 25 years in the business agrees, it is not normal income it is as Sweet Say's Heck[ quote name=Sweetgirl1956' date='15 September 2012 - 02:01 PM' timestamp='1347732062' post='1032607] You need to read the tax code. Publication 525, Page 33. Foreign currency transactions. If you have a gain on a personal foreign currency transaction because of changes in exchange rates, you do not have to include that gain in you income unless it is more than $200. If the gain is more than $200m report it as a capital gain. The m after the $200 was a typo. It is taxable if you make more than $200. Period Link to comment Share on other sites More sharing options...
Redwizard Posted September 16, 2012 Report Share Posted September 16, 2012 Thanks Sweetgirl for the post, that sounds cut and dry. Link to comment Share on other sites More sharing options...
Chartman17 Posted September 16, 2012 Report Share Posted September 16, 2012 Sweet is correct. I am a tax guy, but, I don't deal with international issues, etc. However, I do know where to ask the question and I have. If you hold your foreign currency longer than one year, it is Long-Term Capital Gains, subject to a lower tax than Short=Term Capital Gains. From what I understand, foreign currency is an investment and is subject to capital gains rules. However, the states may not view the income in a preferable tax status, like my state California. They say "you got income" you pay tax. California does not recognize ANY preferred tax statuses. You have income...you get taxed. Thank you and have a nice day Chartman17 Link to comment Share on other sites More sharing options...
BradyBear Posted September 16, 2012 Report Share Posted September 16, 2012 I have just been patiently waiting all these years, waiting for it to suddenly be worth it. If it turns at dollar for dinar hot dang that works even if as a total I have to pay 37%! Link to comment Share on other sites More sharing options...
Chartman17 Posted September 17, 2012 Report Share Posted September 17, 2012 I have just been patiently waiting all these years, waiting for it to suddenly be worth it. If it turns at dollar for dinar hot dang that works even if as a total I have to pay 37%! BradyBear, as I said in my previous post, if you've held this investment past one year, you are entitled to Long-term Capital Gains tax rates. The current rate is 15%, Federally. I don't know what the tax rate is for your state. I believe that in 2013 the Long-term Capital Gains rate will go up. How much, no one knows but I would guess at a minimum the Feds would raise the rate to at least 20%. So, let's say you life in California. And, you cash in 1 million Dinar at a 1:1 rate. You would have $1 million. Your Federal tax at Long-Term Capital Gains would be $150,000 and your California taxes would be less than $100,000. Therefore, your combined out-of-pocket would be $250,000 at worst. A lot better than your 37% rate, and, it could be less depending on your state tax rate. I hope that helps. Chartman17 Another thought is to join Adam's VIP, Platinum, IBC, OSI, OGIT club and possibly pay taxes when you want to pay them not when Iraq, Uncle Sammy, and the I.R.S. wants you to pay them. Just a thought.... And, have a nice day Chartman17 Link to comment Share on other sites More sharing options...
OldSignalOfficer Posted September 29, 2012 Report Share Posted September 29, 2012 See this link for each states capital gains tax rate: http://www.thereibrain.com/realestate-blog/2007/10/capital-gains-tax-rates-state-by-state/ Link to comment Share on other sites More sharing options...
weldr1 Posted September 30, 2012 Report Share Posted September 30, 2012 See this link for each states capital gains tax rate: http://www.thereibra...state-by-state/ according to this chart, I live in a state that has a 6% state tax (KY), would I still have to pay that tax if I cash in in a state that has no state tax? (TN) Link to comment Share on other sites More sharing options...
baymd Posted September 30, 2012 Report Share Posted September 30, 2012 Careful. This is a 2007 tax chart. Link to comment Share on other sites More sharing options...
Butifldrm Posted September 30, 2012 Report Share Posted September 30, 2012 I'd like to think the increase in value of the Dinar has nothing to do with pending increase in capital gains next year, but it does seem suspect. http://apiexchange.com/index_main.php?id=8&idz=236 CAPITAL GAIN TAXES GOING UP, WAY UP (#135) "58 PERCENT INCREASE IN CAPITAL GAIN TAXES IS COMING" TAX INCREASE #1 - 20 PERCENT CAPITAL GAIN TAX IN 2013 The Tax Relief, Unemployment Insurance Reauthorization and Jobs Creation Act of 2010 extends the Bush-era tax cuts until the end of 2012. Beginning January 1, 2013, the tax rate will revert from the current 15 percent rate back to the former 20 percent capital gain tax rate that was in effect prior to 2003. TAX INCREASE #2 - 3.8 PERCENT MEDICARE TAX IN 2013 Beginning in 2013, the national health care reform legislation that became law in March, 2010, imposes a new 3.8 percent tax on certain investment income. The new tax will apply to single filers with incomes over $200,000 and married taxpayers with incomes over $250,000. Under the law, the investment tax provisions in Chapter 2A of the Internal Revenue Code are placed under the heading “Unearned Income Medicare Contribution.” In general, this new Medicare tax will apply to investment income that is subject to income tax, which includes capital gains. Pursuant to IRC Section 1402 ©(1)(A)(iii), the investment income to which this new tax applies includes “net gain” (to the extent taken into account in computing taxable income) attributed to the disposition of property that qualifies as a capital asset under Section 121 (capital gains), as well as gains on other property that are considered part of ordinary income. Also of relevance for rental property owners, this new tax applies to a real estate investor’s rental income if they have income above the $200,000/$250,000 income thresholds. The net effect of both capital gain tax increases is a new 23.8 percent tax rate for higher earners—the highest rate for long-term capital gains since 1997. The Joint Committee on Taxation estimates the new Medicare tax on investments will cost taxpayers over $30 billion annually. Additionally, the modified adjusted gross income threshold at which this Medicare tax will apply will not be indexed for inflation, which means an increasing number of taxpayers will be snared by this tax provision. Overall, the economic impact of these tax increases will be felt by the very investors who help promote long-term economic growth. In 2007, taxpayers with incomes greater than $200,000 reported 47 percent of all interest income, 60 percent of all dividends and an amazing 84 percent of all capital gains. THE COMING TAX INCREASES - A COMPARISON CurrentJanuary 2013Conventional Short-Term35.0%43.4%Conventional Long-Term15.0%23.8%AMT Short-Term28.0%31.8%AMT Long-Term15.0%23.8% Link to comment Share on other sites More sharing options...
PowerGeneration Posted October 12, 2012 Report Share Posted October 12, 2012 I am not going to cash out in the USA I found out some countries there tax is alot less than anywhere in the USA plus the money doubles as well.The USA thinks we cant get more than 10,000 out of this country I laugh at that because more than once I have gotten money in and out of this greedy country with ease! IMHO when our beloved Rv hits you can bet the farm they the gov will increase capital gains tax here. Tired of getting the shaft here in the good ole USA! I have always wondered if we didnt have a 16 trillion dollar deficit would our capital gains tax be so high? maybe china can release us from our debts just like maliki wants to be released from chapter 7 free and clear. Also what would happed if we just told china that we are gonna embargo there country and tell them to stick what we owe them where there cheaply made products end up.The USA runs the whole world it would open the flood gates to new AMERICAN made products that are better made and would put millions back to work.To me china doesnt want a big RV because we would be able to pay them back and they would'nt want that. They want us to be dependant on china to keep them in the trillions of profit and keep the rest of the world at bay. begging for more borrowed money we cant possibly pay back.Who says we have to pay them back at all? ever heard of chapter 13 try that on for size china did that shoe fit well or did it fall apart like all the cheap arse junk that you sold us making fatcat investors filthy rich! If you would like to know how to move money around out of this country send me a private email if its possible and I will tell you how. most of my dinar have already been moved to where I am cashing out and The nosy USA didnt even see it. HA HA HA uncle sam your blinded eye worked for the rich so I used it to.You wont believe how simple it is. These are non USA controlled countries by the way.What would the government do if all of us left this country and they didnt get there precious reserve currency at all? You would hear the biggest turd ever crapped hit the fan sorry for my crudness.That would mean the war would'nt get paid for here in the USA.We the people DO have the power to get what we want from this crappy government but we must STAND together to get it. why invest our long waited for funds in a country who doesnt have OUR best intrests at heart?I have some dam good tax atorneys I hired and when I told them what I was doing they were at a loss for words. of coarse I would be giving up my citizenship but hey they give that out to anyone who can swim. Why not pay less in taxes so I can give more to the needy instead.How do you like that uncle sam? Bet bush didnt bet on this kind of action did he?I am not cheating on my taxes just being a good stewart of my money.When you can pay less.Most tax accountants wont tell you these things because' Its how they make a living here.If you dont ask them the specifics about these types of things they certainly wont tell you.Talk about taking the wind out of uncle sams sails WHEW!!! Link to comment Share on other sites More sharing options...
Sweetgirl1956 Posted October 12, 2012 Report Share Posted October 12, 2012 If you are a US citizen and you make income that is taxable and try to hide it......well, I hope you don't get caught because I would not want to be charged with tax evasion. I hear federal prisons are nicer than the state prisons, but I would not want to find out. I know a certain amount of income that is earned outside the US is tax free income, but investment income is taxable in the US. You pay taxes in the state that the income was earned in. Example: If you live in Texas and work for a while in California, you pay California state taxes on the amount of income made in California. Texas has no state income tax. If you live in a state that has a state income tax and you have investment income then you pay the appropriate taxes for the state you live in. Trying to screw the pooch is only going to make your life difficult. I personally would not want to live in a state that has a state income tax. Texas does not have one and we seem to get by just fine. Link to comment Share on other sites More sharing options...
usndiver Posted October 12, 2012 Report Share Posted October 12, 2012 This topic has been discussed ad naseum. As it stands right now the gains from this investment will be treated as ordinary income in accordance with Internal Revenue Code Section 988 My link. That being said, the federal government can do whatever they like, through new legislation, in regards to taxation of this investment. Link to comment Share on other sites More sharing options...
rockfl9 Posted October 12, 2012 Report Share Posted October 12, 2012 Powergeneration::::IF you are to avoid paying US taxes, you must renounce citizenship and establish residency in the new country BEFORE cashing-out.. Even just holding it in foreign bank as $s will make it subject to US tax. The gain occurs when converted..This in the news lately when founders of facebook, left US with $Bn in stock....My opinion only. Link to comment Share on other sites More sharing options...
PowerGeneration Posted October 12, 2012 Report Share Posted October 12, 2012 Thats right rockfl9 thats what I am doing I wont cash mine until I move there and as you might of read these are NOT US controlled countries That I am moving to. I will pay my taxes in this new country and believe you me ANY of these third world country banks will welcome you with open arms in a heart beat! Hiring the right folks sure helps. My bucks are not sitting in a foriegn bank but are in their country! Until our country can treat people all the same and stop taxing us to death for there mistakes they wont see a dime of tax money from me.You'd be amazed how these 3rd world banks operate They can just about hide anything,zuckerberg was a fool he stuck his money in a foriegn bank and tried to hide it tisk tisk also most countries make you wait one year before you can become a citizen but money buys it another way. I am a small fish compared to the zucker sucker How do you think the rothechilds do it? I learned from the best.Our country cant tell us where to cash this money all they can do is wave good buy to that sweet reserve currency! Your opinion is valueable rock and most should not do what I am about to do. This is my way of getting back with uncle sam for the rump poking I got for fighting for this country. Lost a arm and now fixing to lose my benefits.which were not that much. Most of the banks I talked with wont even charge you tax on it just invest a little through the bank and you are golden!Why cant the US do this for us?Milburn drysdales is why pure greed.and is the US going to pay me intrest for holding on to this currency for 9 years now? hell no.USA hands are already red in color from rubbing them together awaiting cash in.The USA is one of the highest taxing countries. cant even give a million to each of my family members or pay a even higher tax that suxs! were is the fairness? Link to comment Share on other sites More sharing options...
easyrider Posted October 12, 2012 Report Share Posted October 12, 2012 belize perhaps lol? Link to comment Share on other sites More sharing options...
PowerGeneration Posted October 12, 2012 Report Share Posted October 12, 2012 Belize is a good one too but I think after we cash in belize is going to be very full. That made me laugh are you going there easyrider? Its a good choice just get there fast. Nothing wrong with bowing down to the queen is there? Or even a Zcar in russia LOL Iran would love to have us LOL Link to comment Share on other sites More sharing options...
DayGee Posted October 16, 2012 Report Share Posted October 16, 2012 Thats right rockfl9 thats what I am doing I wont cash mine until I move there and as you might of read these are NOT US controlled countries That I am moving to. I will pay my taxes in this new country and believe you me ANY of these third world country banks will welcome you with open arms in a heart beat! Hiring the right folks sure helps. My bucks are not sitting in a foriegn bank but are in their country! Until our country can treat people all the same and stop taxing us to death for there mistakes they wont see a dime of tax money from me.You'd be amazed how these 3rd world banks operate They can just about hide anything,zuckerberg was a fool he stuck his money in a foriegn bank and tried to hide it tisk tisk also most countries make you wait one year before you can become a citizen but money buys it another way. I am a small fish compared to the zucker sucker How do you think the rothechilds do it? I learned from the best.Our country cant tell us where to cash this money all they can do is wave good buy to that sweet reserve currency! Your opinion is valueable rock and most should not do what I am about to do. This is my way of getting back with uncle sam for the rump poking I got for fighting for this country. Lost a arm and now fixing to lose my benefits.which were not that much. Most of the banks I talked with wont even charge you tax on it just invest a little through the bank and you are golden!Why cant the US do this for us?Milburn drysdales is why pure greed.and is the US going to pay me intrest for holding on to this currency for 9 years now? hell no.USA hands are already red in color from rubbing them together awaiting cash in.The USA is one of the highest taxing countries. cant even give a million to each of my family members or pay a even higher tax that suxs! were is the fairness? Maybe if you hate America so much you should just think about getting out now? 2 Link to comment Share on other sites More sharing options...
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