IRS Delays Cryptocurrency Tax Reporting Rules Until 2025

According to BlockBeats, the United States Internal Revenue Service (IRS) has postponed the implementation of cryptocurrency tax reporting rules until December 31, 2025. This delay is intended to provide brokers with additional time to adapt to various accounting methods amid legal and regulatory challenges. BlockBeats reported yesterday that the IRS has issued a temporary relief measure, which is expected to benefit holders of cryptocurrencies on centralized finance (CeFi) trading platforms by 2025. The regulation, set to take effect on January 1, 2025, mandates the use of the first-in, first-out (FIFO) accounting method for crypto assets, unless a preferred method such as highest-in, first-out (HIFO) or specific identification (Spec ID) is chosen.