Hello, my business has recently started accepting e-gold for payment
(see http://www.redprince.net/enter/egold.html if curious), and I am
wondering how do I treat it for tax purposes (in the US).

I am sure the IRS will want its cut, but how do I determine the fiat
equivalent? My company web site has a form to accept e-gold by weight,
not by dollars. And, of course, its value fluctuates.

It seems logical that the value should be determined by whatever amount
of USD I get for it whenever I turn it into fiat, but I presume the
IRS will want its cut in the year in which I receive the gold rather
than in the year when I exchange it for cash, which may or may not be
the same year.

Secondly, if I pay independent business contractors in e-gold and have
to give them an IRS form at the end of the year, again, how do I determine
how much I paid them in paper money when I actually paid them in gold?

Adam
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http://EasyDomain.com/
Domains for less


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