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1967Chats
Level 2

Bitcoin gift

I won a very small (under $20) amount of bitcoin in December 2020, I sold it about 2 weeks later.  I received a 1099 yesterday. Then I had to upgrade my TurboTax product - which I am not happy about.  I am being asked  for the amount paid for the Bitcoin.  I did not pay for it, so I have no idea what to put in.  Can I leave this blank since it was a gift.  Also, the amount of proceeds is double what I sold it for.  Thanks

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Accepted Solutions
AnnetteB6
Employee Tax Expert

Bitcoin gift

Since it was a gift to you, you paid $0 for the bitcoin you received.  All of the proceeds you got from selling it will be considered the gain on the sale.  

 

 

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1 Reply
AnnetteB6
Employee Tax Expert

Bitcoin gift

Since it was a gift to you, you paid $0 for the bitcoin you received.  All of the proceeds you got from selling it will be considered the gain on the sale.  

 

 

**Say "Thanks" by clicking the thumb icon in a post
**Mark the post that answers your question by clicking on "Mark as Best Answer"

View solution in original post

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