Ledgible, a crypto tax and accounting platform for professionals, has partnered with Blockworks, a cryptocurrency news outlet, to write and release a new guide to the tax treatments for digital currencies aimed specifically at investors.
The guide goes over basic concepts like how crypto is taxed, how the government defines property and commodities, and when someone pays the levy; it also includes things like guidance for both U.S. and non-U.S. investors, the tax treatment for disposal of crypto assets and the incurring of crypto losses, how the wash sale rules applies, how to track gains and losses, trading and minting NFTs, and other aspects of how virtual currency interacts with tax authorities.
It also reminds people that, in the U.S. at least, a crypto sale always triggers a taxable event — the IRS requires that you report any gains even if it is made in an alternative digital asset.
