Although the "like kind exchange" aspect has been used in the past by some traders, deferring taxes, the law has now been changed to limit the application of like kind exchanges to real property. So at this point (post-12/31/17) a cryptocurrency to cryptocurrency "swap" is now a "sale" that needs to be reported. Your basis in Etherium is whatever you paid for it in US dollars. Your "proceeds" is the translation of the Ripple at an appropriate rate into US dollars. The difference between proceeds and basis is your gain or loss.
You'll enter that into TurboTax using the "Stocks, Mutual Funds, Bonds, Other" interview and tell TurboTax that no 1099-B was received.
If you have a really big gain to report you might want to make estimated tax payments, though if you have a job where taxes are withheld and you usually get a refund, that might not be necessary.
Tom Young
Although the "like kind exchange" aspect has been used in the past by some traders, deferring taxes, the law has now been changed to limit the application of like kind exchanges to real property. So at this point (post-12/31/17) a cryptocurrency to cryptocurrency "swap" is now a "sale" that needs to be reported. Your basis in Etherium is whatever you paid for it in US dollars. Your "proceeds" is the translation of the Ripple at an appropriate rate into US dollars. The difference between proceeds and basis is your gain or loss.
You'll enter that into TurboTax using the "Stocks, Mutual Funds, Bonds, Other" interview and tell TurboTax that no 1099-B was received.
If you have a really big gain to report you might want to make estimated tax payments, though if you have a job where taxes are withheld and you usually get a refund, that might not be necessary.
Tom Young