Cryptocurrency clause

The United States Internal Revenue Service (IRS) has updated the most common form of income tax reporting to include a cryptocurrency clause.

On Friday, the agency published a draft of the new form 1040. The annex to it now contains information on additional income and other amendments.

Irs New Form 1040 by Blockchain Journal on Scribd

The IRS sent this project to tax companies specializing in tax services to media representatives.

One of the new questions in the updated 1040 form is:

“During 2019, did you receive, sell, send, exchange, or otherwise participate financially in any virtual currency?”

Below this question, the taxpayer is requested to fill out the relevant information on additional income.

“Taxpayers who submit annex 1 to report income and amend that cannot be directly indicated on form 1040 should tick the appropriate box to answer questions about virtual currency. It is not necessary for taxpayers to submit Appendix 1 if their answer is no, ” representatives of the agency said.

Recall, the other day, the tax office of the United States for the first time in five years published a guide on calculating taxes for owners of cryptocurrencies. It examines the tax liabilities created by forks, the determination of the value of the cryptocurrency received as income, and the calculation of taxable profits from the sale of digital assets.

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