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Gold/Mining/Energy : Big Dog's Boom Boom Room -- Ignore unavailable to you. Want to Upgrade?

To: Biomaven who wrote (186908)	12/4/2014 6:46:37 PM
From: Elroy Jetson	Read Replies (1) \| Respond to of 206326

Gosh, my de minimus was obese. As the website you posted says, "personal currency losses, not related to business or investment, are definitely not deductible. law.cornell.edu The code and Tax Court case law is notably silent on currency gains and losses in ordinary personal bank accounts, where an actual foreign currency is kept. I'd take it to tax court and win. Just so long as the bank account is not associated with a business or trade, and not part of a larger investment. Some American banks offer accounts "alleged to be in a foreign currency" but these are actually treated as a type of futures contract, which they are in fact. If you put $400k in a Mexican bank account and the currency is devalued by 50%, the loss is not deductible - that's actual Tax Court case law. The IRS would look legally peculiar attempting to claim a 100% currency gain in a Mexican bank account would be taxable.

To: Biomaven who wrote (186908)	12/4/2014 7:17:20 PM
From: Elroy Jetson	Respond to of 206326

In contrast to the U.S., tax rules for Australians maintaining personal foreign currency accounts are quite specific. Not surprising as far more Australians maintain personal foreign bank accounts either in nearby nations of New Zealand and Indonesia, or often holiday locations in Europe or Asia. If you're Australian you deduct currency losses and must report currency gains on a tax form specifically for that purpose. You listing the beginning and ending balances each year for each foreign currency account you maintain. No attempt is made to reconcile gains or losses on money which was spent during the year for personal purposes.