Cryptocurrency Policy Links

CryptocurrencePolicyLinks.md

• New Crypto Tax Reporting Obligations Took Effect on New Year’s Day (2024-01-02). [web article]. Brito, Jerry. Coin Center. Retrieved 2023-12-06 from: https://www.coincenter.org/new-crypto-tax-reporting-obligations-took-effect-on-new-years-day/.

  TAGS: #CryptoTaxation #IRSRegulations #CryptocurrencyLaw #TaxReporting #DigitalCurrency #FinancialRegulation #TaxObligations #BlockchainTechnology #LegalChallenges #CryptocurrencyCompliance

  SHORT ABSTRACT: "The article addresses the new tax reporting obligations for cryptocurrency transactions in the U.S., effective from January 1, 2024. It discusses the implications of the Infrastructure Investment and Jobs Act's amendment to the Tax Code, requiring reports to the IRS for transactions over $10,000. The piece highlights the practical challenges and potential constitutional issues associated with these new requirements."

  KEY QUOTES:

  1. "It is important that every crypto user is aware of the pitfalls that have been created as this law is now in effect."
  2. "If you don’t file a report within 15 days of receiving the transaction, you could be found guilty of a felony offense."
  3. "The problem is many will find it difficult to comply with what is supposedly a straightforward (if unconstitutional) new obligation."
  4. "More importantly, Form 8300 is today sent to FinCEN as well as the IRS. Unlike with physical cash transactions, FinCEN has no authority to collect reports concerning cryptocurrency transactions, so one cannot be required to send Form 8300 there."
  5. "It’s no doubt only a matter of time before someone...makes a contribution of $10,000 or more to Coin Center in cryptocurrency, and then we’ll be on the hook for complying and will have to figure out a way to do so."