GeorgeM777
Expert Alumni

Get your taxes done using TurboTax

You do need to report it as a sale.  If your question relates to the sale of GBTC assets to cover trust expenses, then yes, those get reported as sales.  Shareholders in GBTC are treated as if they directly received their respective pro rata shares of the Trust’s income and proceeds, and also directly incurred their pro rata share of the Trust’s expenses.   Thus, when the Trust sells Bitcoin, each shareholder must determine whether the sale of their pro rata share resulted in a gain or loss.  

 

The 2022 Grantor Trust Tax Information for GBTC contains all of the information a shareholder needs to compute their respective gain or loss.  TurboTax does not make these calculations.  If you need to access the Trust Tax Information, here is a link to such document.  At page 15 is an example of how a shareholder can calculate their gain or loss.

 

2022 Grantor Trust Tax Information 

 

@chuckbloodgood 

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