The United States Treasury Department and Internal Revenue Service (IRS) have recently modified their crypto tax reporting rules, originally requiring extensive reporting for crypto transactions exceeding $10,000.

Coinlive previously reported on the enforcement of these original rules, and how they appeared almost arbitrary to crypto advocacy groups.

The Treasury now clarifies that businesses are not obligated to adhere to the same reporting standards for crypto transactions as they do for cash.

However, this exemption is temporary and will only persist until the introduction of formal crypto regulations in the country.

Same Requirements as Cash

In a recent statement, the US Treasury Department explains that digital asset transactions will not be subjected to identical reporting requirements as cash until more precise regulations are established.

Regulators intend to release rules offering additional details and procedures for reporting digital asset receipts.

The public will have the chance to provide feedback through written submissions and participation in a public hearing.

This rule reversal comes a few weeks after its initial public introduction.

Onus on US Citizens

Previously, US citizens receiving $10,000 or more in crypto transactions had the obligation to report the transaction, including names and addresses, within a 15-day deadline.

The government, in collaboration with the IRS, actively explores methods to ensure accurate reporting and appropriate tax payments by crypto holders in the US.

Recent rule changes suggest a move towards standardising crypto reporting similar to traditional assets.