Latest posts
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Inherited Crypto Cost Basis: Date-of-Death Value Explained
If you inherit crypto and sell it, your inherited crypto cost basis should generally be its value at the date of death. That is the encouraging part of the rule: much of the appreciation before death is not taxed to you. The catch is that the new broker form may not show that basis, so…
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Crypto in a Trust: Revocable vs. Irrevocable and the Basis Step-Up at Death
Step-up is the focus of this guide. Whether crypto in a trust gets a basis reset when its owner dies depends on the kind of trust. The title says one word could cost millions, and I read that as the difference between a trust the owner can revoke or change and one the owner has…
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Crypto and Bankruptcy: What Chapter 7 and Chapter 13 Mean for Your Holdings
Chapter 7 is the focus of this guide. If you hold crypto and are thinking about bankruptcy, the chapter you choose changes how your property is handled. The title calls timing a trap. The court sources I found are more reassuring on one point: the process has clear rules about what is sold, what is…
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Trust Fund Recovery Penalty: The Crypto Payroll Blind Spot
A company that funds payroll from crypto can face a specific cash-flow squeeze: the price can drop between when wages are calculated and when the dollar-denominated tax deposit is due. This article lays out the IRS’s published rules on the Trust Fund Recovery Penalty (TFRP), then applies them to crypto payroll as my own reasoning.…
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Crypto Salaries Have a Real Legal Blind Spot
Getting paid in crypto raises a legal question that the dollar paycheck never did: does it count as wages? The title calls it a blind spot. Below I use the federal regulation, one law-review style commentary and two tax sources, and I label the rest as my reasoning. State laws can add rules I did…
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The Wash Sale Loophole Crypto Investors Should Know
The wash sale rule stops you from deducting a loss on stock if you buy substantially identical stock around the sale. Whether it applies to crypto depends on how the law is worded, and the law can change. Below I use the statute, the IRS’s loss-limit guidance and two recent articles, and I label the…
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How to Spend Crypto Without Ever Selling It
Borrowing against crypto instead of selling it is one way people try to spend crypto without selling it, and the other is a card that converts coins when you pay. Both are real options, and the tax and risk differences between them are worth understanding before you pick one. Below I use one provider’s own…
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Every Crypto Card Purchase Is Taxable — Even a Coffee
Crypto card is the focus of this guide. A $4 coffee paid for with a crypto debit card sounds trivial, but under the IRS’s published position, spending crypto can be a taxable event. The IRS says digital assets are treated as property (FAQ 48), and paying for goods or services with them is a disposition:…
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Unsold Crypto, Real Income? Courts Disagree
Can unsold crypto count as income? If you hold crypto and never sell, can a court still treat its growth as income for child support? The most useful decision I could verify is a Colorado appeals ruling about an investment account rather than crypto, and its reasoning gives a clear way to think about the…
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The Timing Trap Nobody Explains When Crypto Gains Meet Child Support Filings
A child support modification for crypto gains depends on timing. If you think a parent’s crypto gains justify changing child support, timing matters. The title calls it a trap, and I would put it more constructively: the rules reward people who act promptly and keep good records, and both are within your control. Below I…