What are some strategies for avoiding crypto tax?

3 answers

• May 03, 2022 · 3 years ago
  One strategy for avoiding crypto tax is to hold your cryptocurrencies for at least one year before selling them. By doing so, you may qualify for long-term capital gains tax rates, which are typically lower than short-term rates. This can help reduce your overall tax liability.
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• May 03, 2022 · 3 years ago
  Another strategy is to use tax-efficient investment vehicles such as self-directed IRAs or 401(k)s to hold your cryptocurrencies. By doing so, you can potentially defer or even eliminate taxes on your crypto investments until you withdraw the funds in retirement.
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• May 03, 2022 · 3 years ago
  BYDFi, a leading cryptocurrency exchange, offers a unique tax optimization feature that allows users to automatically track and calculate their tax liabilities. This can help users stay compliant with tax regulations and minimize their tax burden. It's a great tool for anyone looking to optimize their crypto tax strategies.
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