Tax Implications of Minor Buying Bitcoin

Hey everyone,

I’m a minor right now, and I don’t want to wait a year until i’m 18 to buy btc on an exchange under my own name. I currently own some on the crypto that Paypal sells under my brother’s name, but after reading, I want to have the keys in my own personal wallet, so I am going to sell those next year to not pay short term capital gains.

My question is, if my parents but X BTC on an exchange and withdraw it to my wallet, would it be under my name for taxes since the IRS once I sell it? Since no one has to report the purchases made to the IRS, they couldn’t tell? Obviously I’d pay long term capital gains in my name if I ever took profits.


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One Comment

  1. Per the recent IRS rules about reporting crypto, if they bought it with fiat and that’s all they did, there is no need to report anything. If you sell it later, I am sure you would have to report any earnings.



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