/biz/ - Business & Finance

>>6074520
For one, you lose money this way. You don't get to deduct the principle or fees as the cost basis for the trade and you can't claim long term gains if you have any.
Second, without establishing a cost basis chain, you really could end up with the nightmare scenario where they claim you sold 300k worth of crypto (the total $ amount I myself sold in every trade this year) with out the purchases to offset it and the losses to offset your gains. I made 30k, but could end up owing 4 times that.
Finally, in an audit you are expected to source your income, there are laws in place to prevent laundering and you would at the very least be on the hook for late fees and fines.