Will it be taxed as personal income or capital gains? 1 Answers as of March 23, 2011

Want to find out if the profit realized by Iraqi dinars revaluating them being exchanged for USD. Will be taxed as personal income or capital gains?

Ask a Local Attorney. 100% Anonymous. Free Answers.

Free Case Evaluation by a Local Lawyer: Click here
Financial Relief Law Center
Financial Relief Law Center | Mark Alonso
If the currency was acquired for investment purposes then a gain in value would result in a capital gain. Otherwise, a gain in value would be ordinary income. There is an exemption of $200 for currency transaction gains for personal (not for business or investment) transactions.
Answer Applies to: California
Replied: 3/23/2011
Click to View More Answers: