You may be entitled to significant cash compensation

[David Merrill]

This virtual currency question is a very interesting attorney quandary. For the unredeemed it presents a big privacy problem indeed. One invests in the cybercurrency on a presumption that it is aside and separate from Fed notes and here is a Yes/No question. But for the Redeemed it is a big red flag for the IRS agent to get this strait up to Legal:

If you are using the Fed's private credit, they have a residual interest in anything you purchase with their notes. This is the essence of SDR's backing the US Dollar floating exchange rate - Bretton Woods Amendments.

Search "Fed Assets Current" and look at the footnotes carefully. You must report about your use of their notes, including the shirt on your back, that you bought for them with their currency, if they request it.

Thank you for the image Lorne. Very nice. And thanks for leaving the redeemed to express their redemption for themselves. The posture of confidence is necessary.

[lorne]

Yes, that's how I deal with that virtual currency question - leave it blank. And maybe mark it PRIVATE because it is private; none of your business. Like any red blooded American I enjoy some bitcoin. It's not Federal Reserve anything, in fact it totally bypasses central banking. And I didn't exchange any Fed Reserve credit for virtual currency either (I exchange lawful money for bitcoin).

PS. I also discovered you can amend your filed & paid-for TurboTax return. Simply go to the Tax Home page, then scroll all the way to bottom and click on the blue "Add a State" button. That will let you make changes, but only if haven't e-filed already. I don't e-file; I go "Print my Return" and then attach copies of my demand for lawful money.