Is cash app 1099 reporting required for all types of digital currency transactions?

3 answers

• Hartley HollowayNov 01, 2023 · 2 years ago
  Yes, Cash App does require 1099 reporting for certain types of digital currency transactions. The reporting requirement applies to transactions that meet or exceed the IRS threshold. Cash App will issue a 1099-K form to users who have received more than $20,000 in gross payments and conducted more than 200 transactions in a calendar year. It's important to note that not all digital currency transactions on Cash App are subject to 1099 reporting. Only transactions that meet the IRS criteria will be reported.
  512

  256
• Iain LynchOct 15, 2024 · 10 months ago
  Absolutely! Cash App follows the IRS guidelines when it comes to reporting digital currency transactions. If you meet the threshold of $20,000 in gross payments and more than 200 transactions in a calendar year, you can expect to receive a 1099-K form from Cash App. However, if your transactions fall below these thresholds, you won't be subject to 1099 reporting. It's always a good idea to consult with a tax professional to ensure compliance with reporting requirements.
  474

  158
• Udit MauryaMay 21, 2022 · 3 years ago
  As an expert in the digital currency industry, I can confirm that Cash App does require 1099 reporting for certain types of digital currency transactions. However, it's important to note that this requirement is not unique to Cash App. Many other digital currency platforms and exchanges have similar reporting obligations. The purpose of 1099 reporting is to ensure transparency and compliance with tax regulations. If you engage in digital currency transactions that meet the IRS criteria, you should expect to receive a 1099-K form from Cash App or other platforms.
  568

  142