Ledgible publishes white paper on new digital asset tax reporting rules, offers expert analysis

ATLANTA, July 15, 2024 /PRNewswire/ — Ledgible today announced the availability of a free white paper containing a detailed expert analysis of the new digital asset tax reporting regulations issued by the IRS and the US Treasury. The white paper, titled “The Impact of Final Digital Asset Tax Reporting Regulations,” was written by a tax and accounting expert Jessalyn DeanVice President of Tax Reporting at Ledgible.

“After reviewing over 400 pages of new guidance, we believe the IRS and U.S. Treasury have positively addressed a number of critical implementation issues related to custodian and hosted broker reporting. We are pleased that they have adopted a number of our recommendations in the comment letters and statements, including exempting tokenized money market funds from reporting Form 1099 like their non-tokenized counterparts, among other changes,” Ledgible said. Jessalyn Dean“Please note that digital asset platforms that do not offer hosted wallet services are not yet secure. Some may still be subject to gross revenue and underlying cost reporting if they have outsourced their hosted wallet infrastructure to a third party, sometimes referred to as white label wallets or wallets as a service. All digital asset platforms should consider the impact of these final rules.”

The white paper includes a timeline for the final brokerage regulations and their effective date. It is particularly noteworthy that they begin January 1, 2025brokers must start tracking new digital asset sales. Starting now, brokers must also start working on collecting and verifying customers’ full TINs.

“The digital asset industry now has a clear answer to the question of when the new reporting requirements will take effect,” said Ledgible CEO Kell Canty. “The important work of preparing for and complying with the final regulations begins now. The Ledgible team is already helping brokers across the industry with digital asset tax reporting.”

Ledgible’s white paper on the final rules on digital asset tax reporting, titled “The Impact of the Final Rules on Digital Asset Tax Reporting,” can be read on the company’s website.

About Ledgible

Ledgible’s platform was built from the ground up to streamline digital asset tax reporting and compliance. Ledgible provides digital asset compliance for some of the world’s largest financial institutions, including the top 5 U.S. banks, investment firms with over $1 billion in AUM, and the top 10 crypto exchanges. As a SOC 1 and 2 Type 2 certified platform, Ledgible is a trusted first choice for compliance and Form 1099 generation.

Contact:
Jan Jahosky
407-331-4699
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SOURCE Ledgible