crypto

Does anyone know if you have to collect sales tax onchain for services?

Let’s say I paid a subscription to a decentralized network for some compute I need. In web2 world we collect taxes.

Is it just the node operators are responsible for filing taxes?

Tax partner & digital assets co-head @ Fried Frank. Art appreciatoor. Casts are not advice. Twit: CryptoTaxGuyETH. Deca: https://deca.art/CryptoTaxGuy

Working on building zkTLS infra/products. A ruthless empiricist and meme connoisseur.

/opacity
/eulerlagrange

I think if anything is collected as income then it counts as taxable once under your control. So if you are doing quarterly it has to be paid that quarter. Cc @cryptotaxguy.eth

Im the guy that posted all those factory memes once

Sales tax is a state by state determination that depends on the location of the customer. The issue comes up primarily with NFT sales. In large part it just hasn’t been figured out yet. I’m a federal tax lawyer, not a state tax lawyer, and the fed tax code doesn’t impose a sales tax.