Thread by @intel_jakal

Pondering the tax consequences of the #celsius #hodl and #accrued profits come tax time. I thought I'd brush up on my #cryptotax understanding I found the following blog to be really clear, concise and useful.
cryptotrader.tax/blog/the-trade… h/t @coinledger

The tax framework I had assumed would be applicable was/is pretty well as I expected. Most of which I've learnt over the years the hard way by getting shit wrong (don't get me started on the pain of get pegged in the bum by the tax-office for failing rollover relief tests).

Paying the tax piper..Income tax or Capital Gains. What's not well understood by the swinging dick muppet brigade is referals fee's, staking, mining, shilling and lending ..... that's ALL income tax. You might think it all pools into one big HODL fantasy. but it don't.

and if you've had a swinging dick of year as every muppet with lazer eyes has. You probably more likely to find yourself in the highest marginal tax bracket....

just for illustration lets look at the Australian income tax rates. Assuming that you haven't all retired or not still living in mummy's basement. You probably have a real job ..you know one with out laser eyes.

Let's say you make $120kpa. why...coz it's easier for me to add/subtract.

that means if you a die hard #Cel dude and you are out there shilling your referral code....37% of that referral has to go to the taxman. That 25% premium you snaffled up by accepting #CEL 37% to the tax man. Lend your bags.....ching ching for taxman.

but of course we talking swinging dicks right...so it would be embarrasing if your Monday ice-cream wasn't more than $100k for the year right? yeah that's right.

that ice-cream you got accrued and never actual got to eat as it all got rolled up in the #CEL choo train. You don't owe 37% .... as a dick swinging earner.....you now owing 45% to the taxman.

Now of course the flipside is...capital gains is far more palatable...well it is if you HODL for > 12months its discounted 50%. but see previous points. Plus see below...good luck with that though.
Bottom line is .... taxman wants his share in fiat.

Apparently the world wants to take their earn in #CEL...presumably coz they want to get their greedy mitts on the bonus 25% premium.......just remember 9% of that 25% needs to go to the taxman in #fiat.

With nothing but a few million daily washing around and 90%+ controlled by CEL...liquidating just the taxman's share would collapse the price (I guess you could take the tax loss next year).

But don't worry #celsius has your back. Don't withdraw....borrow....

why? because #icecream is only ice-cream if you accrue and #HODL otherwise it all turns to #dogshit

#flywheelofbullshit

oh yeah. Get your own tax advice...don't rely on anything I say...especially when tweets mixed with pre-NYE drinks. :)