Experts Node40, which is developing the software for tax reporting, it is expected that the IRS (IRS) this year will receive a record number of tax returns showing losses of cryptocurrency traders and investors.
“Because of the strong reduction of the cryptocurrency market throughout 2018 many traders hesitate to claim their losses. With this step they will be able to reduce the size of the obligations on many points,” said Perry Woodin (Perry Woodin), co-founder Node40.
However, the company warns that the move could have consequences. If the trader passes on the information about the loss, he should also disclose full information about cryptocurrency savings that were previously hidden. Also, the regulator may have questions about how the money was received, for which the trader has bought a digital asset, and why this information has not been previously reported.
“It’s also important to understand that there are many factors that must be considered in the context of the account of a cryptocurrency asset and receive a tax deduction. For example, the “hollero” and traders of different conditions, and those who sold received a coin as a result of separation of the chain is a unique case,” said Sean Ryan (Sean Ryan), the second co-founder of the company.
We will remind that in November, was partially approved the claim of the IRS filed against American cryptocurrency exchange Coinbase. Due to this, IRS received data of clients who bought, sold, transferred, or received bitcoins in the period from 2013 to 2015 in excess of $20 000.
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