The US Treasury proposed expanding brokers’ reporting requirements for cryptocurrencies, according to explanations accompanying the 2022 budget proposal.<\/p>\n
The department argues that as the digital-asset market grows, taxpayers have gained the opportunity to evade taxes.<\/p>\n
\n\u201cTax evasion using crypto assets is a fast-growing problem,\u201d the Treasury said.<\/p>\n<\/blockquote>\n
The initiative would extend to bitcoin exchanges and custodial wallets as well. They would be obliged to transmit information about account beneficiaries to the international information-sharing network of which the United States is a member.<\/p>\n
If approved, the measure would take effect in 2023.<\/p>\n
The Treasury also proposed a ‘comprehensive financial-account reporting’ rule. The rule would apply when taxpayers acquire crypto assets from one broker and transfer them to another.<\/p>\n
The department had previously clarified that the Biden administration’s proposal includes a requirement to transmit to the IRS information about cryptocurrency transactions for amounts of $10,000 or more<\/a>.<\/p>\n
Caitlin Long, CEO of the Avanti cryptocurrency startup, described the actions as clearing<\/a> the regulatory field for digital assets, but ruled out a ban on bitcoin.<\/p>\n
General Explanations FY2022<\/a> by ForkLog<\/a> on Scribd<\/p>\n