Digital Asset Tax Notes
Cut through the noise. Stay up to date on IRS changes, tax tips, and best practices for crypto and digital-asset holders.
Notice 2014-21 in 2026: Why It Still Controls Digital-Asset Tax Treatment
Notice 2014-21, published on March 25, 2014, is the foundational IRS guidance on digital-asset taxation. The Notice answered sixteen questions about the…
Ordinary vs Capital: When Each Applies to Digital-Asset Transactions
Character classification — ordinary versus capital — controls the rate at which digital-asset income is taxed under IRC §1(h) and §1, determines which…
Token-to-Token Swap as a Realization Event: IRC §1001 in Practice
A taxpayer who exchanges one digital asset for another — ETH for USDC on a centralized exchange, ETH for cbETH on a liquid-staking protocol, USDC for DAI…
Wallet-Level Basis Under Rev. Proc. 2024-28: What Changed and What to Track Starting 2025
Rev. Proc. 2024-28 changes how digital-asset basis must be tracked for any taxpayer with units acquired in more than one wallet, exchange account, or…