The US Internal Revenue Service (IRS) issued a statement last Monday (22) recalling that investors must declare their cryptocurrencies, stablecoins, NFTs and other assets of the same class.
The article serves as a quick guide for US cryptocurrency investors and outlines how to make the statement. “Taxpayers must report all income related to their digital asset transactions”reports the tax authorities.
The US government is showing itself to be a cryptocurrency-friendly country, mainly by approving 10 Bitcoin ETFs in cash this month, and is taking the opportunity to collect taxes. On the other hand, countries like China gave up these revenues by banning cryptocurrencies.
The US IRS publishes a guide to declaring cryptocurrencies
The process of declaring cryptocurrencies in the US is quite simple. In short, Americans must declare their transactions in cryptocurrencies and the amount involved in the transactions.
For example, the taxpayer must indicate whether he has received cryptocurrencies as a form of payment, prize or reward. In the same vein, earn cryptocurrencies through mining, staking, and even hard forks.
On the other hand, they must also indicate whether they have exchanged their cryptocurrencies for products, services and even other cryptocurrencies. The same applies to converting to fiat money.
Therefore, the US IRS’s coverage appears to be very complete and covers all areas of the industry, including the use of cryptocurrencies to pay salaries.
“If an employee has been paid with digital assets, he must report the value of the assets received as salary”reports the tax authorities.
Subsequently, the US IRS notes that investors do not have to report certain transactions. This includes ‘hold’, which is when an investor has their cryptocurrencies placed in their wallet, as well as transfers between their own wallet and accounts.
How Much Do Americans Pay in Taxes on Cryptocurrencies?
Basically, the US IRS divides investments into two types: short-term and long-term investments. The line separating the two is the 1 year range. Short-term investors pay more taxes than long-term investors.
In the short term, taxes start at 12% up to $11,600. At the end of the table, they reach 37% for values above $609,350, gradually increasing until they reach this percentage. The absolute values also increase when spouses file a joint return, but the individual values are ultimately the same.
For long-term investments, no tax is charged for amounts up to US$44,625. Above that and up to $492,300, the percentage increases to 15%. At the last step, above US$492,300, the amount charged is 20%. Complete information can be found on the tax authorities’ website.
Source: Live Coins

Barry Siefert is an accomplished journalist and author at The Nation View. He is known for his expertise in the field of cryptocurrency, and has written extensively on the topic. With a background in finance and economics, Barry has a deep understanding of the underlying technology and market forces that drive the crypto industry.