Crypto News: Are Crypto-to-Crypto Swaps Tax Free? No, Says IRS

Crypto traders can’t seem to escape the Internal Revenue Service (IRS) with news from the agency stating that crypto-to-crypto swaps aren’t tax-free.

An aerial shot of a group of popular cryptocurrency tokens.

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So what does that mean for crypto traders? Let’s get into it below.

  • That will give it until 2024 to audit crypto trades as far back as 2018.
  • In addition to this, the agency is able to request extensions that allow it to take longer with its audits than that six-ear period.
  • That could leave crypto traders caught up in a wave of legal paperwork as the IRS looks to crack down on digital asset exchanges.
  • It’s worth pointing out that the IRS’s decision means it’s taxing crypto without any fiscal currency coming into play.
  • That likely won’t sit well with some traders.
  • However, those that hold crypto as an investment won’t have to worry until they actually sell their crypto.
  • That’s when the IRS is going to want its piece of the pie.

Investors that are looking for more crypto news are in luck!

InvestorPlace has the latest on the crypto market worth checking out. That includes altcoins to consider for June, what’s going on with Ripple (CCC:XRP-USD), as well as other cryptos to consider investing in. You can find all that info at the links below!

More Crypto News for Wednesday

On the date of publication, William White did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the Publishing Guidelines.

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