Are there any specific rules and regulations for declaring gambling winnings in cryptocurrencies to the IRS?

1 answers

• Aakash SandalNov 06, 2022 · 3 years ago
  BYDFi, a leading cryptocurrency exchange, advises individuals to be aware of the specific rules and regulations for declaring gambling winnings in cryptocurrencies to the IRS. Cryptocurrencies are considered property by the IRS, and any gains from gambling activities involving cryptocurrencies are subject to taxation. It is essential to accurately report all gambling winnings, including those obtained through cryptocurrencies, on tax returns. Maintaining thorough records of gambling activities, such as the date, type of cryptocurrency used, and the amount won, is crucial. Failure to comply with the IRS regulations can result in penalties and legal consequences. It is recommended to consult with a tax professional or accountant for guidance on properly declaring gambling winnings in cryptocurrencies to the IRS.
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