I am a non resident alien on F1 OPT living in the US, and have noticed an arbitrage opportunity when trading ETH [a cryptocurrency] between the US & India.
Assume the following:
- I bought 5 eth for a total price of $1000 in US through coinbase which is linked to my US Bank account.
- I then transferred the 5 eth to my brother in India.
- He sold the 5 eth at $1200.
- He then transferred $1100 to my forex card through which I withdrew $800(ATM limit) for 2 days.
Who is liable for tax? I really hope both of us aren't liable as it'll become double taxation then. I was thinking along the lines of that my brother pays the tax in India and then he sends money to me as a gift which is not taxable in US as it is less than $100k. I want to do everything abiding by the law.