• Dapps:16.23K
  • Blockchains:78
  • Active users:66.47M
  • 30d volume:$303.26B
  • 30d transactions:$879.24M

MicroStrategy: Taxation on Unrealized Gains

user avatar

by Giorgi Kostiuk

2 years ago

Michael Saylor's MicroStrategy, the largest corporate Bitcoin holder, may face federal income taxes due to new US regulations.

The Core Issue

According to the Inflation Reduction Act passed in 2022, the company is required to pay a 'corporate alternative minimum tax' at 15% of adjusted earnings. This could include MicroStrategy's unrealized gains despite them not selling Bitcoin for profit.

Potential Legislative Changes

However, the IRS might grant an exemption for Bitcoin under a potentially more crypto-friendly Trump administration.

History of MicroStrategy and Reports

As of early 2023, MicroStrategy's portfolio exceeded 450,000 BTC, valued over $48 billion. Previously, in August 2022, the company and Saylor were accused of evading taxes in Washington, D.C., for which they later agreed to pay $40 million.

Potential tax changes for MicroStrategy may set a significant precedent for other corporate crypto holders.

chest
chest
chest

Rewards

chest
chest
chest
chest

More rewards

Discover enhanced rewards on our social media.

chest

Other news

Coinbase Emphasizes Editorial Standards in New Report

chest

Coinbase has published a report that emphasizes its strict editorial policy focusing on accuracy, relevance, and impartiality.

user avatarKaterina Papadopoulou

New Report Released by SEC

chest

A report has been released based on information provided by the SEC, aimed at informing the public about relevant data and increasing transparency regarding its activities.

user avatarMaya Lundqvist

Wintermute Emphasizes Editorial Standards in New Report

chest

Wintermute has published a report that emphasizes its strict editorial policy focusing on accuracy, relevance, and impartiality.

user avatarLeo van der Veen

Bank of Russia Introduces New Crypto Trading Framework for Ordinary Investors

chest

The Bank of Russia has introduced a draft directive allowing nonqualified investors to trade cryptocurrencies with a limit on annual purchases.

user avatarLi Weicheng

Github Unveils New Report on Editorial Policy

chest

Github has released a new report outlining their strict editorial policy, emphasizing accuracy, relevance, and impartiality to enhance trust and transparency.

user avatarAisha Farooq

Bank of America Sets Bullish Price Target for AMD Stock

chest

Bank of America Securities analyst Vivek Arya has set a bullish price target for AMD stock, predicting it could reach 620.

user avatarTenzin Dorje

Important disclaimer: The information presented on the Dapp.Expert portal is intended solely for informational purposes and does not constitute an investment recommendation or a guide to action in the field of cryptocurrencies. The Dapp.Expert team is not responsible for any potential losses or missed profits associated with the use of materials published on the site. Before making investment decisions in cryptocurrencies, we recommend consulting a qualified financial advisor.