BobTheTaxMan – Dinar Guru Let’s take an example…somebody purchased it [Iraqi dinar] for a thousand bucks. The projected value would increase to $1,000,000. This particular investment type is treated as ordinary income. They decide to cash it all in at once. Here’s the result: They have a taxable event. They lost 37% to the feds and 13% to the state. (That’s before the “Green Book” is applied.) That leaves them with half… $500,000…to be able to invest. Everything that comes off that investment…is taxed again.