"The general concept shouldn't be that difficult, although if you are constantly buying and selling it might be a lot of recordkeeping work. When you buy stuff, keep track of what you paid for it. If you didn't keep track of it, then give it your best guess, and hopefully if the service calls you on it, you can explain how you estimated your basis. At the same time, it's hard to imagine that the service is going to invest the resources necessary to challenge you over a few bucks here and there. If it's anything substantial, then hopefully you have some solid records, and therefore you don't have to guess, and if they call you on it, then you can prove it.
I get that for everyone else who isn't a CPA, this is a PITA and not something they want to deal with, particularly because there's nothing like taxes to suck the joy out of everything. And that's probably why my clients pay me way too much to take care of a lot of this stuff for them, so they can focus on the fun."
That is it. +1
Last edited by BobC; 04-12-2023 at 04:55 PM.
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