The receipt of funds raised from the sale of Channel Revenue Tokens in a successfully closed drop offering may be taxable as either regular income or long-term capital gains. Please note that this is not tax advice. We strongly recommend that Creators consult with a qualified tax advisor to understand how this applies to their specific situation.
Additional Resources:
- https://www.manatt.com/insights/articles/2023/capital-gains-election-will-keep-driving-music-cat
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https://news.bloombergtax.com/tax-insights-and-commentary/capital-gains-election-will-keep-driving-music-catalog-sales
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Neither GigaStar nor any of its affiliated companies provide legal, regulatory, financial or tax advice.