{"id":10016,"date":"2021-07-24T16:54:48","date_gmt":"2021-07-24T16:54:48","guid":{"rendered":"https:\/\/www.buyucoin.com\/crypto-labs\/irs-modifies-crypto-question-on-tax-form-now-focusing-on-taxable-cryptocurrency-transactions\/"},"modified":"2021-07-24T16:54:48","modified_gmt":"2021-07-24T16:54:48","slug":"irs-modifies-crypto-question-on-tax-form-now-focusing-on-taxable-cryptocurrency-transactions","status":"publish","type":"post","link":"https:\/\/www.buyucoin.com\/crypto-labs\/irs-modifies-crypto-question-on-tax-form-now-focusing-on-taxable-cryptocurrency-transactions\/","title":{"rendered":"IRS Modifies Crypto Question on Tax Form \u2014 Now Focusing on Taxable Cryptocurrency Transactions"},"content":{"rendered":"<p><strong>The U.S. Internal Revenue Service (IRS) has modified the crypto question asked on the main U.S. tax form. Reducing the scope of the question, the IRS now focuses on taxable cryptocurrency transactions.<\/strong><\/p>\n<h2>New Crypto Question on Tax Form 1040<\/h2>\n<p>The IRS published a draft Form 1040 for the tax year 2021 Thursday. Form 1040 is the main tax form used for filing individual income tax returns in the U.S. The draft form shows that the tax agency has modified the crypto question slightly.<\/p>\n<p>The crypto question now reads: \u201cAt any time during 2021, did you receive, sell, exchange, or otherwise dispose of any financial interest in any virtual currency?\u201d<\/p>\n<p>Previously, the question read: \u201cAt any time during 2020, did you receive, sell, send, exchange, or otherwise acquire any financial interest in any virtual currency?\u201d<\/p>\n<p>Draft IRS Form 1040 for the year 2021.<\/p>\n<p>For the year 2021, the IRS has removed the word \u201csend\u201d and replaced \u201cacquire\u201d with \u201cdisposed of.\u201d<\/p>\n<p>IRS Form 1040 for the year 2020.<!-- growjs zone placement 31 -->   <!-- end of growjs zone placement --> <\/p>\n<p>Shehan Chandrasekera, Head of Tax Strategy at tax software company Cointracker, explained that \u201cThe revised question only inquires about your taxable transactions compared to the much broader scope of the 2020 version.\u201d<\/p>\n<p>He opined, \u201cAlthough these changes have no big impact on your taxes, it hints at what the IRS has learned from the 2020 version and the direction it\u2019s heading,\u201d elaborating:<\/p>\n<p>Under the revised question, you don\u2019t have to check \u2018Yes\u2019 if you send cryptocurrency in between wallets\/exchanges or acquire them, which are both non-taxable transactions.<\/p>\n<p><em><strong>What do you think about the new crypto question on the tax form? Let us know in the comments section below.<\/strong><\/em><\/p>\n<p>Bitcoin News<br \/>\nTaxes, 1040 tax form, crypto question, crypto question 1040, crypto tax question, crypto transactions, form 1040, IRS, irs tax form, taxable transactions<\/p>\n","protected":false},"excerpt":{"rendered":"<p>The U.S. Internal Revenue Service (IRS) has modified the crypto question asked on the main U.S. tax form. Reducing the scope of the question, the IRS now focuses on taxable cryptocurrency transactions. New Crypto Question on Tax Form 1040 The IRS published a draft Form 1040 for the tax year 2021 Thursday. Form 1040 is&hellip;<\/p>\n","protected":false},"author":0,"featured_media":10017,"comment_status":"","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[53,3],"tags":[],"class_list":["post-10016","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-blockchain-news","category-coin-news"],"_links":{"self":[{"href":"https:\/\/www.buyucoin.com\/crypto-labs\/wp-json\/wp\/v2\/posts\/10016"}],"collection":[{"href":"https:\/\/www.buyucoin.com\/crypto-labs\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.buyucoin.com\/crypto-labs\/wp-json\/wp\/v2\/types\/post"}],"replies":[{"embeddable":true,"href":"https:\/\/www.buyucoin.com\/crypto-labs\/wp-json\/wp\/v2\/comments?post=10016"}],"version-history":[{"count":0,"href":"https:\/\/www.buyucoin.com\/crypto-labs\/wp-json\/wp\/v2\/posts\/10016\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.buyucoin.com\/crypto-labs\/wp-json\/wp\/v2\/media\/10017"}],"wp:attachment":[{"href":"https:\/\/www.buyucoin.com\/crypto-labs\/wp-json\/wp\/v2\/media?parent=10016"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.buyucoin.com\/crypto-labs\/wp-json\/wp\/v2\/categories?post=10016"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.buyucoin.com\/crypto-labs\/wp-json\/wp\/v2\/tags?post=10016"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}