Cryptocurrency taxes

[1kool4skool]

I've purchased some crypto coins but haven't traded them. I also got some coins as gifts. Is any of that taxable? What about the couple of trades I did in the last month of the year. Since I made money, I imagine I'll have to pay tax on that.

[King_Midas]

Details about Cryptocurrency and how to report it can be found on this IRS tax publication NOTICE 2014-21

My understanding is that if you buy Cryptocurrency and sell it for a profit within the year it is a short term gain.

And if you hold it longer than one year and ultimately sell it for a profit later it is a long term gain.

The two types of gains are taxed differently and the capital gains taxable income amounts change subject to new tax laws.