Reading some of the replies here, it seems that the best course of action is not depositing the money to a bank and just use the money in everyday small transactions. Unless of course, you are afraid that the government can be able to track your transaction with that Swiss guy and charge you with tax evasion.
I love USA and there are so many things that the world should thank the country for (just be positive here and not overly negative) but it is not a perfect country and this is not the same country which many people love in the past...this is already a transformed country where sometimes common sense is already not common.
Topic: Selling Over $10k to Non US Citizen (Read 935 times)
As an American, am I allowed to sell over $10k of BTC to a non US citizen (he has Swiss citizenship) for cash?
If so, do I have to collect any info from him? (of course I would much rather respect his privacy)
If so, do I have to collect any info from him? (of course I would much rather respect his privacy)
With the amount of respect I have for United States, this issue of controlling everything is a call for concern and form filling and one might even land in trouble as a result of that. Over here, I dont just have to bother myself, if its coming through bank, I can decide to collect the money in bit not to go beyond the threshold that attracts attention while if its coming through cash, I just earned free money with no one to even know about such transaction happening in the first place.
Ah, yes, use the form! It's that simple.
As an American, am I allowed to sell over $10k of BTC to a non US citizen (he has Swiss citizenship) for cash?
If so, do I have to collect any info from him? (of course I would much rather respect his privacy)
If so, do I have to collect any info from him? (of course I would much rather respect his privacy)
Yes, and make sure to record and report it, failing to do so would run you afoul of AML law (if detected..)
Generally, any person in a trade or business who receives more than $10,000 in cash in a single transaction or related transactions must complete a Form 8300, Report of Cash Payments Over $10,000 Received in a Trade or Business (PDF). Form 8300 is a joint form issued by the IRS and the Financial Crimes Enforcement Network (FinCEN) and is used by the government to track individuals that evade taxes and those who profit from criminal activities. Although the cash reporting requirements apply to many types of businesses, auto dealerships frequently receive cash in excess of $10,000 and are required to comply with the filing requirements.
as i peruse Form 8300, I see you will need the full contact details of the purchasing party, and it has a space for if they are a non-citizen.
You have 15 days to report the sale, legally. this would still apply if you tried to smurf this with a series of smaller transactions.
but in my opinion, I would delete this thread, and pretend like nothing ever happened
if you go that route, be careful depositing that cash!
Yes, just report your income and pay tax on it. I am pretty sure they don't have any tariff on it... furthermore it isn't your responsibility to incur any EU tax etc. All of that is for him to do, just like if you shipped him a product.
Why would you have to do that? A cash transaction is a cash transaction. People make them all the time. This whole government tracking large purchases and crypto worth $nn,nnn+ is insane. If they ask, you say you sold an item and that is that. You will probably have to report capital gains if and or when you deposit that money into your bank account, but that is another story. Good luck, that big of a cash transaction can be scary!
As an American, am I allowed to sell over $10k of BTC to a non US citizen (he has Swiss citizenship) for cash?
If so, do I have to collect any info from him? (of course I would much rather respect his privacy)
If so, do I have to collect any info from him? (of course I would much rather respect his privacy)
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