Turning Taxes Into Bitcoin – A Case Study for Business Owners and High Income Earners

Bitcoin Mining Updates : 08/18/2025

Turning Taxes Into Bitcoin – A Case Study for Business Owners and High Income Earners

If you’re a high-income earner or business owner, you know the pain of watching a large portion of your income vanish every April. Traditional strategies only move the needle so far — and in today’s environment, many simply aren’t enough to keep pace with inflation and wealth erosion.

But thanks to updated tax rules, there’s a way to convert that tax bill into an income-generating, Bitcoin-producing asset.

The Strategy: 100% Bonus Depreciation with Bitcoin Mining Hardware

Under current U.S. guidelines, Bitcoin mining hardware qualifies for 100% bonus depreciation. That means the entire purchase amount can be deducted against taxable income in year one. Instead of sending a check to the IRS, you can redirect that liability into productive assets, mining rigs, that generate Bitcoin daily.

The table below provides a hypothetical case study on a business owner who has $250,000 in taxable income for 2025, with an effective tax rate of 23%. By purchasing $250,000 worth of mining hardware, the business owner can fully offset the tax obligation while also stacking significant amounts of Bitcoin. Based on current BTC Price & Mining Difficulty, $250,000 worth of miners hosted with Blockware is projected to mine ~$420,000 worth of BTC after electricity costs.

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Instead of losing $57,500 to taxes, this business owner:

  • Offsets the entire tax obligation in Year 1
  • Builds a fleet of ~53 Antminer S21+ units
  • Projects nearly $478,000 in value over three years

By leveraging depreciation, business owners or other high income earners are able to transform a liability into a Bitcoin accumulation strategy.

Blockware’s turnkey Mining-as-a-Service enables this strategy to be deployed at any scale.

  • Purchase a Miner
  • We operate it for you at one of our facilities
  • You pay for the electricity of your miner every month and keep all of the Bitcoin
  • Unlock 100% Depreciation

Click here for more information.

Start Saving on Taxes Now

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