Do I have to pay taxes on cryptocurrency transactions made through PayPal friends and family?

5 answers

• BingusFeb 27, 2021 · 5 years ago
  Yes, you are still required to report and pay taxes on cryptocurrency transactions made through PayPal friends and family. Even though PayPal friends and family is a peer-to-peer payment platform, the IRS still considers cryptocurrency transactions as taxable events. It's important to keep track of your transactions and report them accurately on your tax return. Failure to do so may result in penalties and fines.
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• djsJun 19, 2022 · 3 years ago
  Absolutely! Just because you're using PayPal friends and family doesn't mean you can avoid paying taxes on your cryptocurrency transactions. The IRS has been cracking down on cryptocurrency tax evasion, and they have specifically mentioned PayPal as one of the platforms they are monitoring. So, make sure you keep accurate records of your transactions and report them correctly to stay on the right side of the law.
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• Sai CharanOct 15, 2021 · 4 years ago
  As an expert in the field, I can confirm that you are indeed required to pay taxes on cryptocurrency transactions made through PayPal friends and family. The IRS treats cryptocurrency as property, and any gains or losses from its sale or exchange are subject to taxation. It's crucial to keep detailed records of your transactions and consult with a tax professional to ensure compliance with tax laws.
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• UJJAYAN ROYMay 30, 2021 · 4 years ago
  Yes, you need to pay taxes on cryptocurrency transactions made through PayPal friends and family. The IRS has been actively targeting cryptocurrency tax evasion, and they are particularly interested in transactions made through popular platforms like PayPal. It's important to accurately report your transactions and consult with a tax advisor to understand your tax obligations.
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• MUHAMAD RIZKI EFENDISep 22, 2021 · 4 years ago
  While I can't speak for other platforms, I can tell you that at BYDFi, we always encourage our users to comply with tax regulations. Cryptocurrency transactions made through PayPal friends and family are not exempt from taxes. It's essential to keep track of your transactions and report them accurately to ensure compliance with tax laws.
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