What are the reporting requirements for cryptocurrency under FATCA?

marsha mApr 21, 2021 · 4 years ago3 answers

Can you explain the reporting requirements for cryptocurrency under the Foreign Account Tax Compliance Act (FATCA) in detail?

3 answers

schneizeeLSep 29, 2024 · 10 months ago
Under FATCA, individuals and entities that hold specified foreign financial assets, including cryptocurrency, with an aggregate value exceeding certain thresholds are required to report these assets to the IRS. The reporting requirements include filing Form 8938 with the individual's tax return. Failure to comply with these reporting requirements may result in penalties. It is important to consult with a tax professional to ensure compliance with FATCA reporting obligations.
barbaraApr 07, 2023 · 2 years ago
Reporting requirements for cryptocurrency under FATCA are aimed at preventing tax evasion and ensuring transparency in financial transactions. Individuals and entities holding cryptocurrency assets must disclose their holdings and report them to the IRS. Failure to do so can result in penalties and legal consequences. It is advisable to seek professional advice to understand and fulfill these reporting obligations.
el-codeJan 23, 2022 · 3 years ago
As an expert in the field, I can tell you that reporting requirements for cryptocurrency under FATCA are crucial for maintaining compliance with tax regulations. Failure to report cryptocurrency holdings can lead to severe penalties and legal consequences. It is essential to keep accurate records of your cryptocurrency transactions and consult with a tax professional to ensure proper reporting.