Mark Kohler explains crypto tax rates for 2025. Trades are taxable events: short-term holdings get taxed as ordinary income at up to 37%, while long-term holdings (12+ months) face capital gains rates up to 20%. Most sellers should expect to pay roughly 30% or more in total tax.
If we're going to hold crypto when we go to sell it, it's one of two things. Short term capital gain, long term capital gain. That's it people. There's no special crypto tax. There's no like, oh, I get a special treatment because I'm smarter than someone else. There's none of that. Either you hold it 12 months or more and it's long term capital gain or it's not. It's one of the two. Now short term capital gain sucks. It's going to be anywhere between 10 to 37% plus your state. You're getting killed. Yeah. And so if you're trading, and I know many of you continue to buy every day or trade a little crypto here or there, every time you trade, you're tax. Why didn't go to USD? Doesn't matter. You trade sold for eth. You get taxed on the value difference of what you bought it for versus what you traded it for. Long term capital gain. I may have a max 20% plus ACA or Obamacare of 3.7 and then I get state. So the bottom line is many of you are going to be at least paying 30% in tax every time you sell something, minimum or worse.
The secret to managing your family's future #financialfreedom #estateplanning #shorts
Moving Property to an LLC: What They Don't Tell You #realestate #investing #tips
