The Taxman and Cryptomining


I was wondering if anyone could tell me how they handle their taxes and cryptomining. I’ve looked into it and it seems that anyone who earns more than $400 a year from mining has earned taxable income. I’m curious if you simply file as an individual or as a single entity LLC. What type of accounting software do you use? I don’t like considering anyone taking a cut from my crypto earnings but I recognize that the government is involved now. If anyone can help a novice cryptominer understand this complexity, I would appreciate it, thanks.

You only get taxed on what you either withdraw as cash or spend on products. So if you mine and hold it, you technically have 0 taxable crypto income.