According to DL News, the U.S. Internal Revenue Service (IRS) is intensifying its efforts to combat tax evasion related to cryptocurrencies, with a focus on new reporting requirements for the 2025 tax year. The IRS’s Criminal Investigation division has prioritized cryptocurrency tax cases, urging investors to voluntarily report relevant transactions before the April 15 tax filing deadline. Starting in 2025, Form 1099-DA will require brokers to report the total proceeds from digital asset transactions to both investors and the IRS, but investors must calculate and verify their own cost basis. Reports from Coinbase and CoinTracker indicate that approximately 61% of U.S. cryptocurrency investors are unaware of the new rules, and 52% fear penalties due to filing errors. Experts advise investors to gather all transaction records and file accurate returns to avoid criminal penalties, including fines of up to $100,000 and up to five years in prison.
The US IRS intensifies crypto tax compliance ahead of the April 15 deadline.
TechFlowShare
Summary
The U.S. IRS is intensifying crypto market tax enforcement ahead of the April 15 deadline, with a focus on new reporting rules taking effect in 2025. The IRS Criminal Investigation Division has made crypto tax cases a priority, urging investors to file before the deadline. Starting in 2025, Form 1099-DA will require brokers to report digital asset gains, but investors must independently calculate their cost basis. A Coinbase and CoinTracker report reveals that 61% of U.S. crypto investors are unaware of the rules, and 52% fear penalties. Experts recommend maintaining complete transaction records to avoid fines of up to $100,000 and up to five years in prison.
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