The Unconstrained Podcast - Episode 002 - In capitalism, we are all businesses
This is the philosophy of Financial Sustainability. In this first FS episode, we talk about the concepts and methodologies of FS, introducing the concept of how capitalism works and the expectations it has for any participant. We explain about accounting and record keeping, so give you the tools you will need to measure and optimize your finances to keep you unconstrained.
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I wanted to say thank you, for your upvote on one of my #thoughtfuldailypost's because of you, I received the highest payout I've ever had. So... greatly appreciated my friend...
Wes
Did you find a way to track Steem transactions for tax purposes? @beunconstrained
The IRS is starting to send out notices:
https://steemit.com/cryptocurrency/@scaredycatguide/irssendingletterstoeducateuscryptoinvestors-t9v67huhyr
Well this might not be completely correct. First, I don't really have a solution for Steem. What I use is taxbit.com which is excellent because it knows about major exchanges that I use, and will link to the exchange, pull in your buys & sells, works out taxes (and calculates on long term vs. short term gains/losses) by reading the blockchain against your keys, etc. Works really well and makes filing very simple. But this is for the major coins like BTC, ETH, etc. Not Steem.
If you could use a major exchange like Coinbase or Uphold to trade Steem, then it would probably work. The IRS notices that people are freaking out about are linked predominately to the Coinbase fight where they gave up a list of those that had more than $20,000 in trades over the 2013-2015 period per that IRS inquiry that was big news a couple of years ago. I have not heard of anyone outside of that range getting any notices. That said, the blockchain is 100% public and open to anyone to view. It isn't too hard to link blockchain transactions with wallet addresses and then link that to individuals, so I would not be surprised if it is just the beginning.
The best advice - pay your taxes. That's it. If you do that, you have nothing to worry about. If you don't, well you know that never ends well. The thing with Steem is that it conforms to the nature of IRS law in that if you exchange tokens, you create a taxable event - even if it is crypto to crypto. So accounting for it is a nightmare. It is one of the reasons many people don't want to deal with it, not to mention the lackluster returns it has had in the past couple of years. But should you be actively trading in it, you will probably have to record every transaction manually and account for them based on the price of STEEM at the time of receiving or sending it, which may be overwhelming. Since the transaction amounts are so small, it means a huge amount of data to determine liability, etc. And you have to file if you own it, or face massive penalties.
Other than that, I have no solutions here.