What are some strategies for legally reducing the tax burden on profits from NFT investments?

1 answers

• Nov 23, 2021 · 3 years ago
  Reducing the tax burden on profits from NFT investments is a common concern for many investors. One strategy to consider is holding your NFTs for a longer period of time to qualify for long-term capital gains tax rates. This can help lower your tax liability compared to short-term rates. Another option is to offset your NFT profits with any capital losses you may have incurred from other investments. By doing so, you can potentially reduce your overall tax liability. Remember to consult with a tax professional who is knowledgeable about digital currency investments to ensure you're taking advantage of all available tax-saving opportunities.
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