How does the IRS treat gifted cryptocurrency in terms of taxation?

3 answers

• Pir ShahAug 09, 2023 · 2 years ago
  Gifted cryptocurrency is subject to taxation by the IRS. According to the IRS, cryptocurrency is treated as property for tax purposes. This means that if you receive cryptocurrency as a gift, it is considered taxable income and must be reported on your tax return. The value of the gifted cryptocurrency at the time of the gift is used to determine the taxable amount. It's important to keep records of the value of the gift and any subsequent transactions for accurate reporting. Failure to report cryptocurrency gifts can result in penalties and interest from the IRS.
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• Reynolds JuulMay 10, 2023 · 2 years ago
  The IRS treats gifted cryptocurrency in terms of taxation similar to other forms of property. When you receive cryptocurrency as a gift, you are responsible for reporting it as taxable income. The value of the cryptocurrency at the time of the gift is used to determine the taxable amount. It's important to keep track of the value of the gift and report it accurately on your tax return. If you fail to report gifted cryptocurrency, you may face penalties and interest from the IRS.
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• Kate MFeb 27, 2023 · 2 years ago
  As an expert in the field of cryptocurrency taxation, I can tell you that the IRS treats gifted cryptocurrency just like any other form of property. When you receive cryptocurrency as a gift, it is considered taxable income and must be reported on your tax return. The value of the cryptocurrency at the time of the gift is used to determine the taxable amount. It's important to keep accurate records of the gift and any subsequent transactions for tax purposes. Failure to report gifted cryptocurrency can result in penalties and interest from the IRS. If you have any further questions about cryptocurrency taxation, feel free to ask.
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