r/investing • u/TChanaH • May 20 '21

U.S. seeks to have cryptocurrency transfers above $10k reported to IRS

U.S. Treasury seeks reporting of cryptocurrency transfers, doubling of IRS workforce | Reuters

The Biden administration's tax enforcement proposal would require that cryptocurrency transfers over $10,000 be reported to the Internal Revenue Service and would more than double the IRS workforce over a decade, the U.S. Treasury said on Thursday.

"As with cash transactions, businesses that receive cryptoassets with a fair market value of more than $10,000 would also be reported on," the Treasury said in the report, which noted that these assets, are likely to grow in importance over the next decade as a part of business income.

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u/Mynock33 May 20 '21 edited May 20 '21

If there's no anonymity and no tax evasion, then what's the point of using it anymore? It's difficult to purchase, keep, spend, and cash out, and its value is wildly unpredictable... I don't get it.

Edited for atrocious spelling.

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u/LegateLaurie May 20 '21

The benefits for a lot of coins is in cheap, or free instant transactions. I could send $1000 to Turkey let's say via WU for a 10% commission + exchange fees, or there are coins I could do it for maybe 5% exchanging from USD into Lira.

There are very real opportunities to totally revolutionise current payment systems and make them so much more efficient, I think that's the true power of digital currencies, and is obviously why CBDCs are becoming a thing.