The U.S. Internal Revenue Service has officially implemented new reporting standards for digital assets to curb tax evasion
Svmuu News: On April 15, the U.S. Internal Revenue Service (IRS) officially entered a new phase of enforcement, with mandatory cost basis reporting requirements for digital asset brokers now fully in effect for the 2026 tax year.Centralized exchanges, custodial wallet providers, and certain digital asset processing entities are required to issue Form 1099-DA to the IRS and taxpayers, documenting every sale and transaction of digital assets. The IRS stated that this move aims to close a long-standing “compliance gap” and align crypto reporting standards with those for traditional stocks and bonds. The new regulations require brokers to track the “cost basis” of each asset from acquisition to disposition, and taxpayers must be able to verify the specific purchase price and date for every token sold. The Treasury Department has introduced a simplified electronic consent process, allowing brokers to terminate relationships with clients who refuse to participate in the new reporting framework.Although Donald Trump the government has ordered the repeal of the “DeFi broker” rule that treated front-end service providers like Uniswap as reporting entities, the IRS says it will track on-chain activity through advanced forensic audits, and investors who use self-custody wallets to “evade” reporting requirements face a higher risk of audit. (FinanceFeeds)
Source:Odaily · Source Link
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