By the end of March, only 3% of cryptocurrency investors had their taxes filed. As a benchmark, overall, Americans have filed roughly 40% of individual returns that are expected to be received this tax year. The report is coming directly from CoinTracker, a digital; asset platform that is concerned the main reason people have not filed to this point is that they are unaware of how cryptocurrency affects their tax situation.
What Next ?
Many taxpayers are likely holding off from filing in fear of IRS intervention for something they unknowingly did incorrectly. When calculating tax owed, there are a lot of complex calculations that need to take place, and some knowledge is required to know what calculations are even necessary. On top of this, the IRS cracking down on crypto than ever before is making an insanely large portion of taxpayers hold off on filing!
Not Enough Guidance
The aforementioned report has some convincing evidence as well, as it also ran a survey quizzing taxpayers who use the platform of their knowledge, with 97% of takers getting at least one question wrong!
Users also gave data stating that they realize their lack of knowledge regarding the tax implications of their activity. 75% of those surveyed claimed that they were still not ready to file their taxes, with 74% hoping to obtain more information on how to file their taxes.
Wrap Up
With the deadline being so close, and no additional IRS guidance in sight, it is more important than ever to get in touch without someone who can handle your tax and financial needs. If you find yourself in the 97% of taxpayers who still haven’t filed, give us a call, and let’s have a conversation about the next best steps for you!
Questions? Comments? Give us a call at 516-541-6549