I am a US citizen living in the US using Hugosway as my broker. I am both excited and a little afraid of withdrawing some money for the first time. The past couple months have gone extremely well and have just shy of 14k (only started with 1200) in my account. I was thinking about withdrawing 10k possibly? My question is for Americans using offshore accounts like hugosway for awhile, how do i do everything properly? Im not trying to evade taxes or anything like that. My withdrawal method would be in bitcoin to my cashapp and then immediately sell and send money to my wells fargo bank account. Is there anything wrong with that? Would I just pay taxes on the sale of bitcoin at the end of the calendar year as income? Should I start setting money aside strictly for taxes? I went with hugosway because of the higher leverage and being able to to usoil and us30.
Did you ever find the answer to this? I am going to be starting in this market and was looking at how using an a broker like hugosway would affect taxes.
I don’t know the legal answer, but I can apply common sense.
You will likely need to pay taxes on the gains in the years the gains were made, regardless of the location of the broker.
If you get a payout in crypto, you will have to document your gain/loss in Crypto from the time you get it until you convert to cash. The payout in crypto will likely be considered a new investment.
See a tax attorney.