Crypto Tax Crackdown

SAVE BIG and Stay Compliant December 31, 2024 Wealth Matters Web3 Wednesday Report

Understanding the IRS Safe Harbor Rules for Digital Asset Reporting: What You Need to Know Before the December 31, 2024 Deadline

As the IRS implements new Safe Harbor rules starting January 1, 2025, cryptocurrency investors and taxpayers need to act now to ensure compliance and avoid potential penalties. These changes are part of a broader push to close the tax gap—the difference between expected tax revenue and actual collections—through third-party reporting and stricter regulations for digital assets.

If you're a cryptocurrency investor, particularly one using centralized exchanges or managing self-custody wallets, here's everything you need to know to prepare for the December 31, 2024, deadline.