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Bitcoin mining tax us

News: Bitcoin mining tax us stable version of Bitcoin Core: 0. Topic: How to treat Bitcoin mining income for tax purposes? There is more to Bitcoin than bitcoins. How to treat Bitcoin mining income for tax purposes?

Any thoughts as to reporting your mining income? I’d say mining is most similar to a lottery, and in Canada lottery winnings are not taxable – but then again, Bitcoin mining is surely not recognized and regulated as a lottery by the government. Advertised sites are not endorsed by the Bitcoin Forum. They may be unsafe, untrustworthy, or illegal in your jurisdiction. Re: How to treat Bitcoin mining income for tax purposes? If you were to run mining as a business, you almost certainly would not have much in profits to report. You should be able to deduct the cost of electricity, and depreciation of your hardware against your income.

I think most will find they are paying as much in electricity costs, as the value of the Bitcoin that they are receiving. Mining income is most certainly not treated as lottery winnings. Bitcoin mining would fall under the same category as producing goods. Say you have a loom which makes sweaters.