How does the IRS handle taxing cryptocurrency transactions made through cash app?

3 answers

• averagestudentJun 05, 2021 · 5 years ago
  When it comes to taxing cryptocurrency transactions made through cash app, the IRS treats them as taxable events. This means that any gains made from selling or exchanging cryptocurrencies on cash app are subject to capital gains tax. It's important to keep track of your transactions and report them accurately on your tax return to avoid any penalties or audits from the IRS. Make sure to consult with a tax professional for specific advice on how to handle your cryptocurrency taxes.
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• Dr. Mansi BansalJan 17, 2023 · 3 years ago
  The IRS has been cracking down on cryptocurrency tax evasion in recent years, and cash app transactions are no exception. If you're using cash app to buy or sell cryptocurrencies, you need to be aware of your tax obligations. The IRS considers cryptocurrencies as property, so any gains or losses from cash app transactions are subject to capital gains tax. It's crucial to keep detailed records of your transactions and report them accurately to the IRS to stay compliant with tax laws.
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• OhsungMar 06, 2022 · 4 years ago
  As a representative from BYDFi, I can tell you that the IRS treats cryptocurrency transactions made through cash app the same way as transactions made through any other platform. The IRS requires taxpayers to report their cryptocurrency transactions and pay taxes on any gains. Cash app users should keep track of their transactions and consult with a tax professional to ensure compliance with IRS regulations. Remember, it's always better to be proactive and report your transactions accurately to avoid any potential issues with the IRS.
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