Cost Basis for BTC

Forum|Forum|2 years ago
November 15, 2023
1 reply
9 views

What data/information do I need if I want to sell some BTC from a specific lot(s)?

Ask the Experts - Crypto - Nov 2023

shirleyh88

Level 5

Hello kissler524,

Thank you for your question. I am happy to assist you.

In 2023, Bitcoin (BTC) is the most widely circulated digital currency. To sell Bitcoin, you must first have Bitcoin in your wallet. You can sell Bitcoin through an online cryptocurrency exchange, a Bitcoin ATM or direct peer-to-peer (P2P) transactions online or on site.

To sell Bitcoin from a specific lot, the lot selection must be declared at the time of sale, and you must be consistent with this method for the entire tax period. The lot selection cannot be chosen after the sale has taken place.

I have attached a few links below that you can refer to regarding selling Bitcoin:

https://turbotax.intuit.com/tax-tips/tax-payments/tax-tips-for-bitcoin-and-virtual-currency/L1ZOgU00q

https://ttlc.intuit.com/community/taxes/discussion/bitcoin-must-i-record-each-buy-if-i-ultimately-sold-all-my-bitcoins-in-a-single-transaction/00/727633

https://www.bitcoin.com/get-started/how-to-sell-bitcoin/

Please let me know if this answers your questions, or if I can be of further assistance.

Thank you!

Shirleyh88

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