What are the tax implications of selling cryptocurrencies in Illinois?

1 answers

• Dec 28, 2021 · 3 years ago
  As a third-party expert, I can provide you with information on the tax implications of selling cryptocurrencies in Illinois. In Illinois, cryptocurrencies are treated as property for tax purposes. This means that when you sell cryptocurrencies, you may be subject to capital gains tax. The tax rate for capital gains in Illinois varies depending on your income level and the length of time you held the cryptocurrency. If you held the cryptocurrency for less than a year, it is considered a short-term capital gain and taxed at your ordinary income tax rate. If you held the cryptocurrency for more than a year, it is considered a long-term capital gain and taxed at a lower rate. It's important to keep accurate records of your cryptocurrency transactions and consult with a tax professional to ensure you are compliant with Illinois tax laws.
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