Articles Posted in Crypto Taxes

For businesses in California, embracing cryptocurrency can open up new markets, streamline payments, and attract a tech-savvy clientele. However, accepting, holding, or paying with digital assets introduces a labyrinth of accounting and tax challenges that standard bookkeeping practices are simply not designed to handle. This is where specialized crypto accounting for businesses becomes not just…

The IRS is no longer taking a passive approach to cryptocurrency. With advanced data analytics and information from crypto exchanges, the agency is actively identifying taxpayers who may have underreported or failed to report their crypto gains. For crypto traders in California, a state already known for its rigorous tax enforcement, the risk of an…

As cryptocurrency continues to integrate into our financial lives, understanding the tax implications is more critical than ever, especially for investors in a high-scrutiny state like California. The IRS and the California Franchise Tax Board (FTB) are clear: profits from cryptocurrency are taxable. Whether you’re a seasoned trader in San Francisco or just starting with…

As the end of the year approaches, the December 31st deadline looms large for savvy crypto investors in California. The final quarter is a critical window to make strategic decisions that can significantly reduce your tax liability for the year. With the IRS increasing its focus on digital assets and new reporting rules on the…

Cryptocurrency fraud is rising at an alarming pace, leaving thousands of investors unsure of their next move. With the anonymity of blockchain transactions and the speed at which scammers operate, victims often feel helpless. This is where a crypto recovery lawyer plays a critical role. While no recovery process is guaranteed, working with an attorney…

Finding a CP14 Notice from the IRS in your mailbox can be unsettling. You may wonder whether the balance due is accurate, if the IRS made a mistake, or what consequences you’ll face if you don’t respond. This notice is the IRS’s formal communication informing you of an unpaid tax balance, and it’s critical to…

Key Takeaways for Digital Asset Holders New Guidance: IRS Revenue Procedure 2024-28 allows taxpayers to allocate basis in digital assets to wallets or accounts for tax purposes as of January 1, 2025. The allocation must be reasonable and can be either specific or global. This is crucial for accurate tax reporting. Transition Period: The guidance…

Learn About Crypto Tax Audits Crypto tax attorney Alex Kugelman provides a comprehensive breakdown of what causes a crypto audit and how to respond to a crypto audit on the latest Bitcoin Taxes podcast. Alex shares with host Sal Vescio a thorough overview of what causes a crypto audit, what to expect during an audit,…

IRS Crypto Tax Reporting Requirements As part of the Infrastructure Bill’s legislation, there is a requirement for crypto exchanges to report information to the IRS about its crypto and NFT transactions and investors. Now that the IRS will be tracking crypto investments, whether you are a trader, miner, developer, or a broker it is critical…

Investigations Focus on Taxpayers Paid in Crypto Who Do Not Report The IRS Criminal Investigation (CI) Division is preparing hundreds of cases and increasing enforcement related to crypto tax evasion and off-ramping transactions involving exchange of digital assets for fiat currency. Division Chief Jim Lee announced on a press call that there has been a…