To make the terms of the cryptocurrency tax returns more transparent, the Internal Revenue Service (IRS) sent a letter to Tom Emmer stating that the entity would give priority to the relevant guidance.
Faced with the democratization of cryptocurrency, congressmen are deeply interested in the question of tax legislation.
To speed up the process, these representatives, including Tom Emmer , have requested that the tax authorities provide more clarification regarding the taxation of cryptocurrencies.
They expect the IRS to provide answers “on a number of important issues”.
Also, in his letter, the institution’s Commissioner Charles Rettig responded to this request by sending a letter to Tom Emmer promising a prioritization of the relevant guidelines, which would deal with the basic costing methods, the assignment of basic costs, and the tax treatment of forks.
Towards a clear regulation of cryptocurrency
The purpose of the conference is to build an understandable and effective legal basis before imposing any principle on taxpayers.
Also, Charles Rettig explains that the virtual currency is conceptualized as a property, and can be subject to the same tax principles applicable to real estate transactions.
In addition, he noted that the IRS was working with industry stakeholders to identify key points for tax guidance.
What do you think of this IRS letter to Tom Emmer ? Comment in the comments section.