PlaneNut777
New Member
I'm using an unregulated (in the U.S.) broker who is based in another country - HK I think but I could be wrong. They don't provide much documentation such as statements, and putting money in & taking out is done via crypto. So...when I want to withdraw, I have to first withdraw to my crypto wallet which is USDC, then go into the crypto account and sell that into the fiat wallet, then withdraw from fiat into my local bank account. When the money comes into my bank it is listed as "Foris US card transfer". Foris is a blockchain company that operates crypto dot com, so the bank knows the inbound money is coming from crypto but that does not indicate anything about that it came from Forex profits.
So my question is, how will this work for tax reporting? The broker doesn't have a U.S. tax ID and there's no statement, though I have designed my own Forex trading journal in Excel where I keep extremely detailed log of each trade. Will it make a difference that this broker is offshore, like will the IRS ask what country I am receiving this money from? (the base denomination of money in my Forex account is USD)
None of the videos I've watched describe the situation with an unregulated broker. So I'm wondering how others have handled it.
So my question is, how will this work for tax reporting? The broker doesn't have a U.S. tax ID and there's no statement, though I have designed my own Forex trading journal in Excel where I keep extremely detailed log of each trade. Will it make a difference that this broker is offshore, like will the IRS ask what country I am receiving this money from? (the base denomination of money in my Forex account is USD)
None of the videos I've watched describe the situation with an unregulated broker. So I'm wondering how others have handled it.