I have CashApp, if I receive funds marked as a gift for someone else,and I pay that someone,in full in cash or bitcoin,do I claim that amount as income when I file?

I got 50 from Fred for Carl. After CashApp fee, it was 49.50. I bought 49.50 in Bitcoin, which turned to 48 after buy fee. I sent the 48 to Carl's crypto wallet.

802

Level 15

May 14, 2022 4:15:46 PM

First you got a gift of cash (not taxable/not income ) with which you bought bitcoin and then gifted the bitcoin back to that person (not taxable to you) and so when/if they sell that bitcoin they will have to report the sale.

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I have CashApp, if I receive funds marked as a gift for someone else,and I pay that someone,in full in cash or bitcoin,do I claim that amount as income when I file?