"Holy s---, that's a lot of taxes," Winkelmann told CNBC.Winkelmann may be facing a tax bill worth tens of millions of dollars. As an artist, Winkelmann will also have to pay federal and state income taxes on his earnings from the sale, in addition to reporting the cryptocurrency gains on his 2020 tax return.
NFT buyers and sellers also need to be aware of how the cryptocurrency they used to buy the NFT will be taxed. If the buyer held the cryptocurrency for over a year, they would be subject to a long-term capital gains tax. Long-term capital gains are taxed at 15% for individuals who earn between $40,000 and $441,000 — and 20% for individuals that make more than that amount.
s. This year, the IRS put a question about crypto investments on the first page of 2020 tax returns. People that fail to report digital assets or attempt to hide them could face serious penalties from the IRS.
There is this one on auction, relatively cheaper, but hype!
Rough life for people who made buku bucks on this new trend but now they have to pay taxes?
You fools...
NFTs = 💀 to the 🌎 BoyCottNFTs
Still don’t understand NFTs... Someone explain them to me.