The final instructions list the following as virtual currency transactions that trigger a โYESโ response on a Form 1040 to the virtual currency question:
โข The receipt or transfer of virtual currency for free (without providing any consideration), including from an airdrop or hard fork;
โข An exchange of virtual currency for goods or services;
โข A sale of virtual currency;
โข An exchange of virtual currency for other property, including for another virtual currency; and
โข A disposition of a financial interest in virtual currency.
The above list isnโt exhaustive and other transactions may require a โYESโ response on a Form 1040.
For more info, see page 16 of Forms 1040 & 1040-SR instructions at https://www.irs.gov/pub/irs-pdf/i1040gi.pdf
If you need help, contact us at https://tjcarroll-law.com/contact/
๐๐ก๐จ๐ฆ๐๐ฌ ๐๐๐ฆ๐๐ฌ ๐๐๐ซ๐ซ๐จ๐ฅ๐ฅ, ๐.๐. ๐ข๐ฌ ๐ ๐ฅ๐๐ฐ ๐๐ข๐ซ๐ฆ ๐๐จ๐๐ฎ๐ฌ๐ข๐ง๐ ๐จ๐ง ๐๐๐๐๐ซ๐๐ฅ ๐๐ง๐ ๐ฌ๐ญ๐๐ญ๐ ๐ญ๐๐ฑ๐๐ฌ ๐ญ๐ก๐๐ญ ๐ฉ๐ซ๐จ๐ฏ๐ข๐๐๐ฌ ๐ข๐ง๐๐ข๐ฏ๐ข๐๐ฎ๐๐ฅ๐ฌ ๐๐ง๐ ๐๐ฎ๐ฌ๐ข๐ง๐๐ฌ๐ฌ๐๐ฌ ๐ฐ๐ข๐ญ๐ก ๐ญ๐๐ฑ ๐ก๐๐ฅ๐ฉ ๐๐ง๐ ๐ฌ๐จ๐ฅ๐ฎ๐ญ๐ข๐จ๐ง๐ฌ ๐๐จ๐ซ ๐ญ๐จ๐๐๐ฒ ๐๐ง๐ ๐ญ๐จ๐ฆ๐จ๐ซ๐ซ๐จ๐ฐ.
๐๐ฏ๐๐ซ ๐๐ ๐๐๐๐ซ๐ฌ ๐จ๐ ๐๐ฑ๐ฉ๐๐ซ๐ข๐๐ง๐๐ ๐ข๐ง ๐๐๐, ๐๐ & ๐๐ ๐๐๐ฑ ๐๐ฎ๐๐ข๐ญ๐ฌ, ๐๐ฉ๐ฉ๐๐๐ฅ๐ฌ & ๐๐๐ฑ ๐๐ฅ๐๐ง๐ง๐ข๐ง๐ .
๐๐๐.๐๐๐๐๐๐๐๐๐-๐๐๐.๐๐๐