Pursuant to statements made by IRS Commissioner Charles Rettig on May 30, 2019, much-anticipated cryptocurrency tax guidance should be released “very soon.” Rettig suggested the guidance, which would come in the form of a revenue ruling and a revenue procedure, could be released within the next 30 days.
These statements come in the tailwind of Rettig’s May 16 letter responding to a request from 21 representatives in Congress urging the IRS to provide guidance on basic reporting. In that letter, Rettig assured the representatives that the soon-to-be-released guidance will address, among other issues:
This welcome guidance should build upon the only previous tax guidance available, IRS Notice 2014-21, which states that “virtual currency is treated as property and existing tax principles applicable to property transactions should apply.”
Stay tuned for more on this highly anticipated guidance.
Contact Cynthia Pedersen at cpedersen@cohencpa.com a member of your service team for further discussion.
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