Form 8300 & Digital Assets:
What You Need to Know Now
The Infrastructure Investment and Jobs Act (Infrastructure Act), enacted in 2021, broadened the categories of transactions subject to reporting under Section 60501. The Infrastructure Act significantly expanded the definition of cash for informational reporting. The new definition of cash encompasses both physical currency and any digital asset. The definition of digital assets encompasses all types of digital assets as well as stablecoins.
Effective January 1, 2024, should an individual or entity receive digital assets with fair value exceeding $10,000 in a singular transaction (or a series of transactions), that individual or entity is required to report said transactions to the Internal Revenue Service (IRS) and the Financial Crimes Enforcement Network (FinCEN).
Aprio’s Blockchain Tax/KYC/AML/BSA Practice can guide you in implementing the proper policies to enable your systems to comply with these filing requirements. Use the following resources to learn more about this new requirement:
