My advice to people on this ride, MY OPINION ONLY

[skrappyone]

I read several different sites and I see a lot of people worried and asking questions about taxes.  So here is how I deal with it and keep in mind, I am not anybody.  I'm not an adviser, guru, employee of anything, just stating how I look at things.

 

When I got into this specualtion, I did not invest more money than I could afford to lose.  Nobody knows how long this could take, including myself, so I wasn't expecting a quick return.  My wife has wanted me to sell what I have to get my money back and my response to her was, " I will die with it in hand, rather than sell it and miss this possible opportunity".  So here is how i look at the tax part.

 

1.  Before I am going to stress out about the taxes, it iwll have to Raise in value first.

 

2.  Nobody knows how the taxes will be handled until it does raise and we/you make money off of it.

 

3.  I have read the IRS website on this and it states "any profit over what the original cost of the currency, will be treated as regular income". Might not be exact but it is very close.

 

4.  If they consider it Capital Gains, then it will be taxed accordingly.  I think they raised it to like 24 or 26%.

 

5.  I have read some say that there will be no taxes on this, becasue it is a currency exchange.  Personally I think these people are wrong.

 

6.  Don't believe anyone that tells you they know how they are going to tax this.  Truth is nobody knows.

 

7.  I will put 50% of what i get into an iterest baring account until I know exactly how much i will have to pay.  I will hold out enough for the worse and hope for the bestg, but in the mean time, the monies i set aside for taxes will be making me money.

 

 

I refuse to worry about the taxes until I know I have the monies in hand to worry about it.  I lknow if I need help, there are a lot of professionals, who are a lot smarter than me to help me figure it out.  This is how I stay grounded and not worry myself to death about anything with this investment.  If it happens, that's great.  If it doesn't happen then I will still come away with all the knowledge I have learned just from being in this investment.

 

Thanks,

Skrappy

[seks]

Well said Skrappy

[eburt]

Well said skrappyone

[boosterbglee]

Thanks Scrappy!  It is true, no use stressing out about something that has not happened or may not! 

[okane]

I agree with most of what was said but it does make sense, in my mind, to as prepared as you can.  To have options.  Asset protection has to start before the storm starts not once it's over. 

[wildeman]

Thanks scrappy. well said, feel the same. goin on 11 yrs. nice to hear from a fellow san antonion,

[skrappyone]

I agree with most of what was said but it does make sense, in my mind, to as prepared as you can.  To have options.  Asset protection has to start before the storm starts not once it's over. 

I didn't say not to prepare..........I said nobody knows how the taxes will be, so don't stress, don't beleive what others tell you, prepare for the worse and hope for the best.  My plan is like I stated.....put 50% into an interest baring acct and make money off of it until I know the exact figure and until I absolutely have to pay.......the longer I keep the money in that account......the more interest I will make...

 

Thanks for the replies

[tankdude]

skrappyone - you're reading my mind...

[Boss hog 1]

very well stated scrappy

[ronberta]

very well said my friend !! and the replys as well !  i have thought thr same about an intrest bearing account and if it hits Very Soon we will have at least a year from now to pay !!  of course there are extencions as well  but a years worth of interest could be a nice sum  but then again we gotta pay tax on interest too !!   we will still be far ahead my friends GO RV !!!!

[ReinMan]

 

I refuse to worry about the taxes until I know I have the monies in hand to worry about it. 

 

 

THAT'S the way!!

 

However an irrevokable trust and an IRA or other tax-sheltered savings should be part of your plan IMO.

[gymrat76541]

Very interesting! Smart too!