Topic: I'm glad I didn't buy any more video cards, a 1080ti barley makes $1 a day - page 3. (Read 3005 times)

Simply create a LLC. Expense all of your electricity and hardware.

Continue to mine, save up as many coins as you can knowing that you will have to pay your taxes on what you mine and when you sell.

However it is still easy to mine and make money.

Well if you want your equipment deductions which is a huge benefit your going to have to report the income it has made also.

Even pointing it to nicehash would bring him more then 1$ per day so its not that hard for now,long are gone days with 20$ per card without having to look thru coins what to mine.There are still coins that brings solid profits mining them but now you need to invest time to find them

You scared of your own shadow?  As long as "you" dont cash out over the reporting threshold then the IRS will never know.  You think the IRS has the man power to come after or even look into someone that mine 10k or even 25k ?  They are looking for the whales.  The IRS has been gutted of agents over the last 10 years.  They simply dont have the manpower to go after the small times.

It all truly boils down to the worst case scenarios and that means NEVER talk to the IRS without a lawyer!

yeah the topic was started back in march when the mining tanked hardest. a bit better situation now.

I think if you are doing well, that is because you have cheap electricity price.

Hopefully OP didn't overpay for the ti and is doing due diligence when selecting coin to mine as barely making a dollar a day seems to be on the very rather low end.

Mining is still doing pretty well by me.

Counting absolute total cost of investment -- Computers, video cards, risers, electrical wiring, shelving, rooms fans, etc (literally everything I have bought for mining)... still getting 1/300th of total investment per day at todays prices. So in general forum terms less than 1-year ROI.

I got back in to mining about 15 months ago and have slowly built it all up so most of the stuff I have is actually already paid off... just looking at total cost / income as of today for the previous sentence.

If we see a bit of a bull market and things I am holding go back up a bit then it'll look even better.

I only mine to the pools. Compared to Nicehash, I got 10% more.

yes, I think in the nicehash software, there is a software to benchmark the video cards so we know what coin that is profitable to mining. and from that, we can start mining that coin. oh yeah, I remember that nicehash show how much our profit with the video cards so we know is it profitable for us or not, try to check by yourself.

If you are mining with 1080ti you need to find best profitable coin instead of pointing your rig to nicehash.
Mining is serious business needs time and research all coins and pools. This is not a setup and forget scheme

In my area many are trying to get rid of their 1080ti.

Almost each one is priced at MSRP, seems nobody wants to sell below MSRP.

So people aren't desperate yet.

That has happened in the past many times.

Do not be upset, there is still a lot of adventure. Both good and bad. Maybe the currency will go up, maybe not, leaving you with that 0.000002$.

Hopefully, if you only bought one 1080ti you are putting it to good use for other things as your regular video card.  Personally, I would keep on mining coins that interest you despite rather or not they are currently "profitable".  Bitcoin wasn't profitable for a various times but look at it now.  People who mined back in the day when it wasn't worth it are very happy.  Not that I advocate mining.  I'm just interested in cryptocurrency.

Yep that's why you can never win big as a miner. Your always fighting for scraps while bitmain eats lobsters and steak everynight

Wouldn't the difficulty go up when something profitable comes along..

See that's where things can get messy.  You sent your btc to an exchange and "cash out" , The IRS will want to know what is your starting cost basis for this or even on your tax forms.  You magically had btc appeared into your coinbase account out of thin air.  And since everything is public on the btc blockchain they can start asking you questions which wallet address this came from if you got audited and what your starting cost basis was for this.  Then you will have to crack down and admit your mining and you may face some penalties and fines.

You shouldn't risk getting into trouble with the irs over a few bucks, Its best to report as accurately or just don't mine at all and sell off your mining rigs while prices are still at a decent premium.,  You wanna play the mining game you gota be prepared to bust out that pencil and do some serious paperwork tracking all your trades for 2018 as well as all your mined coins for all the exchanges you been trading on.

Don't get me wrong,  I would love for the IRS rules to be changed and less of a burden. I hope we can convince some politicians that are pro crypto.   Im just trying to help you guys out not to overlook this and end up getting in trouble from the IRS years down the line.

For the gamers that are less serious about mining and only got a couple of cards, and get free electricity from parents, only doing this to pay down their video cards,  you gota ask yourself if its worth all that paperwork and accounting work during tax day.?  Probably not,  so stop being a troll rising up the difficulty on everyone.

For the serious miners they know doing the proper paperwork is necessary and they treat it as a business.

You could always "adjust" your minimum mining payout to a higher amount and avoid paying taxes until you receive the coins your your wallet.  Nonetheless, the mining bubble is bursting and the weak hands are getting out.  You can pickup cards on the cheap now.  Current rate is about $7 per MH if your mining ETH.

Just saw this on eBay.
https://www.ebay.com/itm/197MH-s-7-AMD-GPU-6-x-RX480-1-x-RX470-Ethereum-Mining-Rig-No-Reserve/152951331198?ssPageName=STRK%3AMEBIDX%3AIT&_trksid=p2060353.m1438.l2649

The GPU crash is a good thing if your long-term.  If your short term, might want to work on the exit strategy.

We may see $100 570 cards very shortly.

I quoted the IRS website. It's very clear. You guys are such nub tards and still in disbelief. It's been well known for awhile and the veteran miners know this as well.

Coins mined is instant income tax. If you made a loss from holding it like most people that mined last quarter you can sell it and report a loss in value for the next tax year.

You still have to report the all time high value you mined at as income