What are the rules for deducting losses from crypto transactions on my tax return?

1 answers

• Dec 25, 2021 · 3 years ago
  At BYDFi, we understand that deducting losses from crypto transactions on your tax return can be confusing. The rules and regulations surrounding cryptocurrency taxation are constantly evolving, and it's important to stay up to date with the latest guidance from the IRS. Generally, you can deduct losses from crypto transactions if they are considered capital losses. However, there are certain limitations and restrictions that apply. It's always a good idea to consult with a tax professional who specializes in cryptocurrency taxation to ensure that you are following the correct procedures and maximizing your deductions.
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