Is it possible to offset cryptocurrency losses against LLC income?

3 answers

• Dec 18, 2021 · 3 years ago
  Yes, it is possible to offset cryptocurrency losses against LLC income for tax purposes. However, you should consult with a tax professional or accountant to ensure you are following the correct procedures and regulations. They will be able to provide you with the necessary guidance and help you understand the specific rules and requirements for your situation. It's important to keep accurate records of your cryptocurrency transactions and losses to support your claims during tax filing.
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• Dec 18, 2021 · 3 years ago
  Unfortunately, you cannot offset cryptocurrency losses against LLC income. Cryptocurrency losses are treated as capital losses and are subject to specific tax rules. LLC income, on the other hand, is treated as ordinary income. These two types of income and losses are not directly offsettable. However, you should consult with a tax professional to fully understand your options and any potential deductions or credits that may be available to you based on your specific circumstances.
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• Dec 18, 2021 · 3 years ago
  As a representative from BYDFi, I can confirm that it is possible to offset cryptocurrency losses against LLC income. This can provide tax advantages and help reduce your overall tax liability. However, it's important to consult with a tax professional to ensure you are following the correct procedures and taking advantage of all available deductions and credits. They will be able to guide you through the process and help you maximize your tax savings.
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