Tax Loss Selling

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TBI - December 10, 2018

Some thoughts on tax loss selling in crypto (this isn’t tax advice, but you should ask a professional if this is worth doing given the 2018 markets carnage).

Most of you are are probably sick of and sickened by looking at your crypto portfolio amidst the downdraft, but you might want to take one more look in the coming weeks at what was in your 2017 and 2018 crypto portfolios, unless you want to screw yourself out of thousands of dollars in additional tax liabilities.

Let’s talk about tax loss selling...selling your bags at year-end in order to offset your capital gains.

For illustration, let’s go back to sunnier times in 2017. You bought your first bitcoin and, on a hot tip from a crypto youtuber, a little bit of mooncoin. You spent $21,000 in total, a pretty hefty chunk, but worth speculating with given your conviction on magical internet money and your hot tipz.