Finance News

Story: IRS Resolves long-standing Tax Guidance Issue Concerning Cryptocurrency Taxes

By Maheen Hernandez

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The IRS Tax Guidance now states that those who have been holding cryptocurrencies which have gone through a hard fork without getting a new cryptocurrency and others who have…

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While from the tax collector's standpoint, the answer is right, the guidance notice only addresses forks, and this is not a beautiful thing.

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The good thing is that the cryptocurrencies which come from the fork are supposed to be treated as an ordinary income, which is equal to a fair market value of the cryptocurrency…

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This is the much-needed clarity making it to the taxpayers. However, one of the risks reported in this guidance per Brito: "One unfortunate thing in this guidance is about third…

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Fear is mounting concerning malicious airdrops. Regardless, the current cryptocurrency holders have a road map of their tax ideals.

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The IRS has issued details about calculating the fair market value of the income, which they have obtained from mining, sale of goods, and services.

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Clarity on this is essential because not all of them buy at the same price and sell at the same price.

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The document should; however, provide the following details:  “(1) the date and time when each unit was purchased (2) The basis and fair market value of each cryptocurrency…

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The first in and first out policy is permitted in the new guidance. From a tax planning perspective is someone has got the first unit of crypto at the rate of $5,000 and the…

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The IRS has stated explicitly that they will be creating an exemption on transactions that are below a particular threshold.

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