IRS Unveils New Crypto Reporting Rules on Tax Day Amid Record-Breaking Exemptions

The US Internal Revenue Service (IRS) has introduced new regulations for cryptocurrency transactions on Tax Day 2026, marking a significant development for digital asset holders.

According to the IRS, all American taxpayers who sold or traded cryptocurrencies in 2025 must report these transactions using the new Form 1099-DA. The form requires brokers to provide information about gross proceeds, but basis reporting remains voluntary for this year. This means that taxpayers will need to calculate their own cost basis to determine gains or losses.

Crypto investors who fail to reconcile their transaction records with the provided 1099-DA forms risk mismatch penalties when the IRS cross-references broker data. To mitigate this, dedicated tracking tools are available for calculating gains and losses across various wallets, exchanges, and DeFi positions.