Tax Forms

Definition for different kinds of tax forms

Form 8949

This form logs every purchase or sale of crypto as an investment. This should include the total number of coins, the buy date and price, the sell date and price, and your gain or loss for each transaction.

Schedule D

This form summarizes your total capital gain or loss from all investments, including crypto.

Schedule C

If you received coins from mining, you need to disclose whether you received them as a business or as a hobby. If you’re running a crypto mining business, you may owe self-employment taxes if your income exceeded your expenses for the year.

Schedule 1

If you report your crypto mining as a hobby, you would report this income on Line 8 of Schedule 1. You won’t owe self-employment tax, but you are limited on what you can deduct as an expense.

1099-B

Brokers file Form 1099-B to provide the IRS with detailed information on the profit or loss from the transaction of your asset or property and also issue you a copy. You’ll need it to fill out Schedule D and Form 8949.

However, crypto exchanges do not file Form 1099-B, leaving you on your own to compile all your crypto transaction details, which can be quite complicated and time-consuming. Let Cointelli do the heavy lifting to ensure you get the proper forms and information you need to calculate your crypto taxes and complete your tax return.

1099-MISC

When a company pays miscellaneous income to an individual, it must file Form 1099-MISC to the IRS and also issue a copy to the individual. This form provides information on a wide range of income types. U.S. taxpayers are required to report 1099-MISC income on their tax returns.




DISCLAIMER: This post is for informational purposes only and should not be interpreted or relied upon as a substitute for the advice of financial, legal, or tax professionals. This content also only addresses U.S. federal income tax consequences for U.S. citizens and residents and does not address tax consequences that may be relevant to a particular person subject to special rules, such as dealers or traders. You should consult with your own financial, legal, or tax professionals to report and file your crypto taxes or make decisions on your particular circumstances. The laws, regulations, or interpretation of the existing laws could change, which may adversely affect either prospectively or retroactively. The content of this post is subject to changes.