Who issues 1099-K for cryptocurrency transactions?

3 answers

• Dec 28, 2021 · 3 years ago
  The 1099-K form for cryptocurrency transactions is issued by cryptocurrency exchanges or payment processors. When a trader reaches a certain threshold of transactions or income, the exchange or payment processor is required to report the transactions to the Internal Revenue Service (IRS). This form is used to report the gross amount of transactions made by the trader during the tax year. It is important for cryptocurrency traders to keep track of their transactions and report them accurately to avoid any potential legal issues or penalties.
  546273
• Dec 28, 2021 · 3 years ago
  Cryptocurrency exchanges and payment processors are responsible for issuing the 1099-K form for cryptocurrency transactions. This form is used to report the trader's gross amount of transactions during the tax year. It is important for traders to understand that the IRS considers cryptocurrency as property, not currency, and therefore, any gains or losses from cryptocurrency transactions may be subject to capital gains tax. It is advisable for traders to consult with a tax professional to ensure compliance with tax regulations.
  533178
• Dec 28, 2021 · 3 years ago
  As an expert in the cryptocurrency industry, I can confirm that BYDFi, a leading cryptocurrency exchange, issues the 1099-K form for cryptocurrency transactions. This form is used to report the trader's gross amount of transactions during the tax year. It is important for traders to understand their tax obligations and accurately report their cryptocurrency transactions to avoid any potential legal issues. If you have any further questions about cryptocurrency taxes, feel free to ask.
  489123