Operation Hidden Treasure: IRS looks to recoup unreported crypto gains

The IRS has launched a significant effort to recoup unreported or underreported taxable events from the sale of cryptocurrencies, including Bitcoin. As many are doubtless aware, the tax code can be a seemingly incomprehensible hodgepodge of muddled lines and questionable exceptions. This difficulty is compounded when it comes to reporting gains related to Bitcoin and other cryptocurrencies.

Though the IRS has made a number of attempts to iron out the increasingly complex rules surrounding the taxing of the use or sale of cryptocurrencies, each new iteration of tax guidance results in still more questions.

If you have sold any cryptocurrency or used it to pay for goods or services in the past, you may be subject to reporting requirements. Seeking the advice of a competent tax attorney that is well versed in the industry is essential. To that end, Taylor English can help.