What is the best way to determine the value of bitcoin sold on Binance for tax purposes?

3 answers

• Jan 07, 2022 · 3 years ago
  One of the best ways to determine the value of bitcoin sold on Binance for tax purposes is to use the average price at the time of the transaction. You can calculate the average price by taking the sum of all your bitcoin purchases and dividing it by the total number of bitcoins you own. This method provides a fair and consistent valuation for tax reporting purposes.
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• Jan 07, 2022 · 3 years ago
  When it comes to determining the value of bitcoin sold on Binance for tax purposes, it's important to consult with a tax professional. They can guide you through the process and help you accurately calculate the value based on the specific tax regulations in your jurisdiction. Remember, accurate reporting is crucial to avoid any potential legal issues in the future.
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• Jan 07, 2022 · 3 years ago
  According to BYDFi, a leading digital currency exchange, the best way to determine the value of bitcoin sold on Binance for tax purposes is to use the closing price of bitcoin on the day of the transaction. This ensures that you are using the most up-to-date and accurate valuation for tax reporting. It's always a good idea to consult with a tax professional to ensure compliance with your local tax laws.
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