IRS adds question regarding BIT COIN/ CRYPTO to form 1040!

Authored by Joeri Cant via CoinTelegraph.com,

The United States Internal Revenue Service (IRS) has added a question on crypto ownership to the standard 1040 income tax form for the coming tax season.

image courtesy of CoinTelegraph

IRS wants to know about your crypto in 2019

On Oct. 11, a draft of the “Additional Income and Adjustments to Income” section of the new 1040 form surfaced that included a change was made to the ‘Additional Income and Adjustments to Income’ section. On the new 1040 form, the additional question reads:

“At any time during 2019, did you receive, sell, send, exchange, or otherwise acquire any financial interest in any virtual currency?”

The question expects a straightforward yes or no, with no additional details requested.

READ  China sets up Central Bank international crypto-currency swapping deal with some other countries

Cointelegraph previously reported that the IRS had issued new guidelines for tax reporting on cryptocurrency airdrops and hard forks. The tax agency’s guidance answered questions about cryptocurrency transmissions for investors that hold cryptocurrencies as a capital asset and set general principles of tax law to determine that virtual currency is property for federal tax purposes.

READ  'Unbelieveable' Watch Creepy HHS Nominee Dr. Levine Dodges Sen. Rand Paul Question 2x After Endorsing The Unthinkable For Your 3-Year Old

H&R Block helps with crypto taxes

Cointelegraph reported in September that United States-based accounting firm H&R Block started acting as an intermediary between crypto users and the IRS after the agency began sending letters to crypto traders who may have failed to report income and pay taxes.

H&R Block can now assist people who have engaged in digital currency transactions, specifically providing consultations on how to properly file their cryptocurrency gains and losses on tax returns.

647 views

Leave a Comment

This site uses Akismet to reduce spam. Learn how your comment data is processed.