How's that working out Earl Co? I just spoke with a rep from a self directed IRA company and they state that if you own the LLC you can not purchase it with your SDIRA, would be a disqualified person. (Explained as if you bought your own house from yourself).
@@b1zarre23 YOU don't own the LLC(s) individually, your IRA owns the LLC(s) (1 holding entity, 1 blocker corp). You create new IRA LLCs specifically for the IRA. And yes, no self-dealing. If you want to transfer equipment, sell to a third party first, then buy it back into your IRA LLC (complete with invoice and receipts).
@@EarlCo ok so I need to sell the hardware I currently have to a trusted third party, and then buy it back after getting the LLC setup? I was wondering how to do this if I already have all the hardware.
@@RobbieE56 you're gonna have to speak with an attorney there. If there's a paper trail of receipts when your IRA/LLC buys it from the third party, and it's not a per se transaction or a prohibited transaction, I think it can be done. Obviously your IRA/LLC is only going to be able to buy up to the maximum amount of cash it has that you've rolled over or contributed into the IRA.
Very good thought, however this seems like a self transaction, which will get thrown out immediately upon audit. Did your firm ever gain and irs opinion on this approach?
Not to mention Corp can be tax free state unless it operations there. And the double taxation from dividends? Annual IRA contribution limits? This guy is looking for suckers.
Thanks for your comment If you'd like to make huge money Investing in bitcoin,eth,bnb,doge,xrp, safemoon, with little capital I will refer you to Ken Anthony Carter For more guidance.**
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yeah lol... im guessing he grouped the 3500$ as everything which isnt a gpu needed to mine. Still very pricey.. Even with inflated hardware prices you can get very good overkill hardware to run those 3 gpus for maybe $1000-1500 right now unless he got gtx 3090/3080's that 2000$ per gpu is a little steep as well
Or you can just buy HUT, BITF, MARA, RIOT, or BRPHF :P Let them do the work :) Leverage with options if you want more than 400% gains. ***** THIS IS NOT FINANCIAL ADVICE*****
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Is this avoided by forming the LLC even tho you own or manage the business ?Internal revenue code under section 4975 prohibited transactions; " you cannot do anything with your IRA that in anyway directly or indirectly personally benefits you, a lineal descendant, parent, child, spouse or any entities controlled 50% or more by such persons"
Internal revenue code under section 4975 prohibited transactions; " you cannot do anything with your IRA that in anyway directly or indirectly personally benefits you, a lineal descendant, parent, child, spouse or any entities controlled 50% or more by such persons"
Good video. Is it possible to mine crypto as a "passive" investment in the self directed roth and avoid C corp and ubit taxes? I am thinking totally hands off remote hosting
Thanks for your comment If you'd like to make huge money Investing in bitcoin,eth,bnb,doge,xrp, safemoon, with little capital I will refer you to Ken Anthony Carter For more guidance.**
Mark, really enjoy the video. Seriously looking to get into mining. You said you would leave your IT guy's information and I do not see it. You also mentioned a video about how to grow your ROTH IRA if you needed more $$ before getting into mining. Could you direct me to the location for both of these. Thanks !
Mark, I would like to get more info. Can you help me? I am glad you covered this topic I know a lot of people that are skeptical others that want but don’t know where to start
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I've been mining for about a year and it's getting to the point where I need to do something like this I'm just West of Chicago Illinois well annoy what would be my next step hooking up with your company do you have one in Illinois I'm not sure where you're located
Thanks for your comment If you'd like to make huge money Investing in bitcoin,eth,bnb,doge,xrp, safemoon, with little capital I will refer you to Ken Anthony Carter For more guidance.**
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Mark, you got totally ripped off on the cost of the rig setup.. The 3080 (at today's jacked up prices) should only be about 1800.00 the all of the cards on your rig can be purchased at today's high prices for roughly 4500.00. the rig, fans, motherboard, CPU, power supply, and ram combined, should cost around 1075 or less. I know, i mine also and yes i did set my own rig up and ordered all the parts and got it up and running, got my cards running at efficiency levels. The information you gave is awesome but you need to know you are being ripped off, unless that cost includes his setting everything up, it may be worth the cost if that is the case..
I want to connect to starlink with a mining rig, and if possible lease out excess bandwidth to someone who I pay to host a few square feet for the rig.
Why couldn't you use a 0% tax BVI Corporation as your UBIT blocker corporation. Yes, it would be a CFC, but if it is a CFC conducting an active business, and that company is not one to which the economic substance requirements of BVI apply and that corporation is owned by a tax exempt trust, then my understanding is that Subpart F should not apply in that scenario. So your earned income within the corporation you invested in would be zero tax and your corporation would not be creating Unrelated Business Income. Doesn't going offshore make more sense in this scenario?
Thanks for your comment If you'd like to make huge money Investing in bitcoin,eth,bnb,doge,xrp, safemoon, with little capital I will refer you to Ken Anthony Carter For more guidance.**
Thanks for your comment If you'd like to make huge money Investing in bitcoin,eth,bnb,doge,xrp, safemoon, with little capital I will refer you to Ken Anthony Carter For more guidance.**
I've already gotten the first 4 steps taken care of(before I started watching your videos of course). After watching this video, does your firm do partials, IE, I need everything from the blue bubble up(Ill handle the IT part as that is what I do, if it isn't a prohibited trans). Also, does the yellow bubble and the blue bubble need to be in the same state.
Also, not to take things so literal, but in step 12. If your "payouts" are not daily, does this step basically indicate that you should xfer money the same day as payouts. If you don't get a payout, there would be nothing in the C-Corp wallet to transfer.
You are awesome! I just received my bachelor degree on accounting and I have learned more from you in a shorter period of time. Right now I can not afford those big steps that require investment but little by little working on reaching stability while learning as much as possible. Right now I am thinking on start the master on finances, will you recommend taxation instead? I truly appreciate the knowledge you share. It is really valuable.
Thanks for your comment If you'd like to make huge money Investing in bitcoin,eth,bnb,doge,xrp, safemoon, with little capital I will refer you to Ken Anthony Carter For more guidance.**
Alright, just came here to watch this from TikTok. I'm crazy interested in this, but my wife is telling me we make too much to do a Roth IRA, which I've never heard of. Any other ideas how to minimize taxes on mining?
that's nice, thanks for replying,you can send a message to my administrator on Telegram to earn massively in crypto, stocks and ETFs. (@kenanthonycarter26) His excellent at what he does, tell him I referred you to him. His passionate strategies are top notch.**
that's nice, thanks for replying,you can send a message to my administrator on Telegram to earn massively in crypto, stocks and ETFs. (@kenanthonycarter26) His excellent at what he does, tell him I referred you to him. His passionate strategies are top notch.**
Thanks for your comment If you'd like to make huge money Investing in bitcoin,eth,bnb,doge,xrp, safemoon, with little capital I will refer you to Ken Anthony Carter For more guidance.**
Thanks for your comment If you'd like to make huge money Investing in bitcoin,eth,bnb,doge,xrp, safemoon, with little capital I will refer you to Ken Anthony Carter For more guidance.**
Thanks for your comment If you'd like to make huge money Investing in bitcoin,eth,bnb,doge,xrp, safemoon, with little capital I will refer you to Ken Anthony Carter For more guidance.**
Thanks for your comment If you'd like to make huge money Investing in bitcoin,eth,bnb,doge,xrp, safemoon, with little capital I will refer you to Ken Anthony Carter For more guidance.**
Mining Bitcoin inside a Solo 401k is much cheaper since it only requires setting up a C corp (no parent LLC needed). Also, if you can setup in Florida where I am it's $138 per year. I used to have a self-directed IRA, but switched to a self-directed Solo 401 5 years ago. The structure is much less complicated and much cheaper to operate. Yes, the Solo 401k has a Roth component.
I love it! I have the technical knowledge to get a rig set up myself (although I might want to consult with someone on the overclocking aspects). Am I able to do that myself or would that be similar to swinging the hammer in a rental owned by the IRA?
First off, great information. Had no idea you could do this. With that said, this is form using your system to mine.....but what if wanted to do this via Proof of Stake where you stake your crypto to earn transaction fees, network fees and such. I would assume you would have to buy the crypto with a self directed IRA and then send it over to the other company which then could have the wallet and rig that is used to stake the crypto? That would be fascinating to figure out.
Can your Roth own all the shares in an S-Corp that does the mining? So money from mining flows into the S-Corp and passes through to your Roth. You use money from your Roth to buy shares in the S-Corp to buy the equipment. What am I missing? I might need to watch the video a couple more times. Thank you so much for posting this, you’re the leader of the pack.
that's nice, thanks for replying,you can send a message to my administrator on Telegram to earn massively in crypto, stocks and ETFs. (@kenanthonycarter26) His excellent at what he does, tell him I referred you to him. His passionate strategies are top notch.**
that's nice, thanks for replying,you can send a message to my administrator on Telegram to earn massively in crypto, stocks and ETFs. (@kenanthonycarter26) His excellent at what he does, tell him I referred you to him. His passionate strategies are top notch.**
Awesome video Mark! But watch out! You’ve been bitten by the crypto bug! Before you know it you’ll be chin-deep in gpus and constantly checking your hash rate, daily rev, and eth and btc prices😂 I do recommend switching to HiveOS if you’re planning to run long term. It’s very user friendly and lower fee than NiceHash. Also there is an inherent risk of mining with Nicehash especially as EIP-1559 gets closer. Check out BitBeTrippin and Son of a Tech yt channels for lots more info on that
Mark, I’ve already purchased about $15k worth of mining equipment. Based on your video, got a little ahead of myself, but would I still be able to do this?
Hi, I’m currently reading Matt’s book and I hope you’ll reply to this. I have two questions: 1. Do you need the parent company LLC or can the Roth IRA hold the wallet? 2. I already have purchased the miner. Is there a way to either get the miner into the the LLC or at least the coins mined without disqualifying the Roth? Or is the miner/coins just completely off-limits? Thank you in advance, James
Hey James, great questions! It is hard for me to answer through a RU-vid comment, but hopefully I can point you in the right direction. We have a podcast dedicated to Self-Directed questions, here is the website: directedira.com/podcast/ you should be able to find most of your answers there. If not, we have an amazing customer service team at directedira.com that will be able to help you answer either of those questions you asked! Hopefully that helps! Thanks,
The answer is yes, but it would be cumbersome and expensive. WHY? Because every time money flows from an IRA to an investment AND visa versa, the IRA custodian must be notified as they are responsible for keeping track of all money flows in the IRA. IRA custodians generally charge a fee for each transaction because they must administer and keeps records of all transactions. If the LLC has the crypto wallet, it accumulates the money and the IRA custodian does not have to be notified. The LLC can also go buy an apartment with the proceeds as long as the LLC is owner of the apartment. If the IRA itself held the wallet, each daily tiny crypto movement into the wallet would be accounted for by the IRA custodian and the fees would probably be a lot bigger than the daily amount transferred. This issue is why I stopped using self-directed IRAs 5 years ago and rolled all my retirement money into a self-directed Solo 401k. With the Solo, I am the custodian and therefore pay no fees and keep records myself. I am thinking of crypto mining in my Solo and I think all I'll need is to setup the C corp as my Solo 401k trust acts like the parent LLC in the IRA structure. I am all about simplifying things and reducing/eliminating fees. No, I am not selling anything here. :)
Can someone provide some clarity about what Mat was saying in another video with regards to the owner of the Roth LLC being restricted from "servicing", overseeing, providing electricity, and otherwise housing the miner that my Roth LLC owns?
Thanks for your comment If you'd like to make huge money Investing in bitcoin,eth,bnb,doge,xrp, safemoon, with little capital I will refer you to Ken Anthony Carter For more guidance.**
When you eventually have enough money in your holding company to buy a building, do you have to open another LLC to hold the investment or can it stay in the holding company?
Mark, I have a Solo 401k that I self administer and it's been working great for me. Question: Can your firm simply setup the C corp for my Solo 401k trust?
Great video, thanks. For step 5, can you do an LLC instead of a c Corp? Allow any profit from llc in step 5 to pass through to the SD IRA LLC? Thanks in advance
The second entity can be an LLC, but you will want to elect to be taxed as a C-corp to avoid the UBIT 37 % tax rate. Your C-corp will only pay 21%. Then pass the mining earnings up to the SD-IRA LLC to let any capital gains appreciate tax free
that's nice, thanks for replying,you can send a message to my administrator on Telegram to earn massively in crypto, stocks and ETFs. (@kenanthonycarter26) His excellent at what he does, tell him I referred you to him. His passionate strategies are top notch.**
I have a self-directed Solo 401k that I had setup by a Solo 401K provider. The entity is structured as a Trust with me as the Admin and sole trustee. Wondering if I could use a similar structure as described in the video such that the Solo 401K acts as the parent company which owns 100% a new Subsidiary mining LLC setup as a C corp. I can easily setup crypto accounts with various exchanges for the trust entity. I believe I would not need the parent LLC as described in the video because my trust basically serves that role. So the mining income would be taxed 21% as a c-corp in the subsidiary LLC and the Soio account would accumulate the mined BTC tax free after moving from the mining wallet to the Solo 401k wallet. Any thoughts?
I also have a self-directed Solo 401k (with ROTH sub account). I believe what you asked is true. The Solo 401k would not need the first LLC setup that in turn owns the C corp since the C corp can be directly held by the Solo 401k's trust account. This is one of the many advantages of the Solo 401k vs IRA structure (Traditional & Roth). The reason IRAs need the first LLC is because every transaction at the IRA level must be reported to and approved by the IRA custodian. Creating an LLC within an IRA allows the owner to fund the LLC once (reportable to IRA custodian), but once the LLC has the money it can write checks to (LLC must open a checking account) pay for mining hardware, mining wallets, etc. The LLC can also accumulate mining profit. The LLC can also invest in real estate or pretty much anything else. The trust in a Solo 401k acts in the same capacity of the IRA's LLC, so has one less necessary setup. Also, LLCs have annual fees and reporting which Solo 401k trust does not have. In summary, Solo 401k has less setup steps AND no fees. No brainer!
that's nice, thanks for replying,you can send a message to my administrator on Telegram to earn massively in crypto, stocks and ETFs. (@kenanthonycarter26) His excellent at what he does, tell him I referred you to him. His passionate strategies are top notch.***
@Rene' D I had a paid consultation. The attorney was not a tax or similar attorney- had specialization in completely unrelated field. And he keep saying he didn’t know but would refer me to get another consultation(paid of course) with a CPA OR he would refer me to Mark Kohler’s video on the topic? He never called back. Never emailed as he said. The result was that after waiting 3 weeks for a paid consultation, my LLC was never set up in time for my new contract so that I could get agreement set with my LLC instead of myself as a sole proprietor, and get taxed as an S Corp. Will be paying high self employment taxes again. And paid more for the consultation than I would have doing a Legal Zoom LLC. They still have money holding but that is to put towards another service within 4 months or you lose it. That is money I will never get back and lost earnings as well. I was very disappointed
I hear this time and time again with tons of paid services off of youtube videos. It's almost like a "donation" for the "free" service you received from the videos :P
Who says your Roth has to be conservative? It depends on someone’s risk profile and goals. And if a small part of your Roth IRA is in crypto to hedge against inflation, what’s the problem?
It's all relative. If you only have $50k in your IRA and you're 55 years old, it's probably not the best idea, but you have more problems anyway. If you're 30 with $50k in your IRA, you could easily handle a $10k investment like this. I'll take this risk over your 5% gains a year.
