Federal Tax, Tax

Reporting Digital Asset Related Income

Taxpayers must report all digital asset-related income on their federal income tax returns. Digital assets include non-fungible tokens (NFTs), stablecoins, cryptocurrency and other forms of virtual currency. Such assets are taxed as property. If you have digital holdings (or had them at any time during the tax year), you must answer “yes” to the question about digital assets on your tax return. Then, depending on the type of transaction, you may need to file an additional form that reports details. See https://bit.ly/3VS2297  for more information or contact us. © 2024