This means that the date you purchased your cryptocurrency has a cumrocket crypto where to buy significant impact on whether or not you will pay tax on it. If you8217;re a US resident who bought crypto before you’ve moved to Puerto Rico, you8217;ll still have to comply with IRS crypto tax requirements. However, if you purchase cryptocurrency after establishing residency in Puerto Rico, your cryptocurrency is tax free. Cryptocurrency exchanges like Coinbase, Binance, and others often do not have the ability to provide their users with accurate capital gains and losses tax reports. This is not a fault of the exchanges themselves, it is simply a product of the unique characteristics of cryptocurrencies—namely their transferability. Whether you’re deep into virtual currency, just dabbling, dipping your toes in or simply crypto curious, know this: exchanging virtual currency is a taxable event. And, as we approach the end of the year, it’s important to understand the tax implications while there’s time to improve your position or reduce your liability. But first, a quick overview.