The IRS’s final regulations on digital asset reporting mark a turning point in how crypto brokers, digital asset platforms and taxpayers report transactions. With authorities expecting to process over 8 billion 1099-DA forms annually, organizations must ensure they have a structured and scalable tax compliance strategy in place.
Packed with expert insights from Sovos’ Wendy Walker, VP of Regulatory Affairs, this guide covers everything you need to know from informational reporting requirements to best practices for compliance.
As of January 1, 2025, businesses dealing with digital asset sales must now comply with Form 1099-DA tax reporting mandates, including detailed cost basis tracking, backup withholding and precise gross proceeds reporting.
Whether you’re managing tax compliance for a large exchange or an individual investor looking for clarity, this guide has the insights you need.
At Sovos, we help businesses navigate complex tax compliance challenges with industry-leading reporting solutions. Our scalable technology ensures accurate, IRS-compliant reporting for crypto brokers, exchanges and digital asset platforms—helping businesses across the globe futureproof their tax reporting strategy.