Michigan lawyer to accept bitcoin payments

Now Accepting | October 19, 2015 By:

Michigan business and tax lawyer Donald Katz announced he will accept Bitcoin payments for his services.

“It’s like they pay you in property, not currency,” he said, explaining that the Bitcoin payment is valued, for tax purposes, at its fair-market value on the day it was received. Then, when the Bitcoin payment is spent, “it’s either a capital gain or a capital loss,” depending on the market value at that point.

Since the trading price of bitcoin can fluctuate considerably, Katz said he will not hold the digital currency as a retainer payment.

Donald Katz operates his own law firm in the Detroit metropolitan area.