CONTINUING EDUCATION FOR TAX & FINANCIAL PROFESSIONALS

The 2026 Summer Federal Tax Update is here – Get ahead of client questions with mid-year insights

In case you haven’t noticed. . . the IRS has added a new question about income from digital assets to partnerships, corporations, S corporations, and estates and trusts for 2023 tax returns. Ask your entity client about digital currency transactions.

2023 Form 1065

For example, the 2023 Form 1065, Schedule B, question 30 asks: “At any time during this tax year, did the partnership (a) receive (as a reward, award, or payment for property or services); or (b) sell, exchange, or otherwise dispose of a digital asset (or financial interest in a digital asset)? See instructions.”

Digital assets include (but are not limited to):

  • Cryptocurrency and convertible virtual currency;
  • Stablecoins; and
  • Non-fungible tokens (NFTs).

IRS Free Webinar

The IRS announced that it will hold a free webinar on February 22 at 2pm EST for tax pros whose clients receive income through digital asset transactions.

During this free webinar, the IRS will cover:

  • Identifying taxable events involving digital assets;
  • Calculating income, gains and losses associated with digital asset transactions;
  • Reporting income, gains and losses associated with taxable digital asset transactions for individuals filing Form 1040 and 1040-SR tax returns; and
  • A live question and answer session.

STAY TUNED

Stay updated with more breaking tax-related developments by subscribing to Tax Bytes with Jessica Jeane, J.D.

Recent Stories

Next Up...

A beginner's guide to SEO for accountants. Claim your Google profile, build service pages, and
11 min read
AI is reshaping accounting. Learn where it saves time, where it creates risk, and how
6 min read
Is your tax practice FTC Safeguards Rule compliant? Discover the 8 required safeguards, WISP guidance,
9 min read