Treasury Aims to Snag Tax Cheats With Crypto Broker Proposal
- Proposal would give government more data on crypto trades
- Decentralized exchanges would also be subject to reporting
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US-based cryptocurrency exchanges such as Coinbase Global Inc. and Kraken would have to report detailed information on their clients’ transactions to the IRS starting in 2026 under a new Treasury proposal.
The proposed regulations from the Treasury Department and Internal Revenue Service offer clarity on reporting rules enacted in 2021 to curb crypto-related tax evasion by offering more transparency into customer trades. At the time, it was estimated the measure would raise up to $28 billion in additional revenue over 10 years, according to the Joint Committee on Taxation.