Deloitte: paying with bitcoin still triggers a taxable gain or loss
- —Paying with bitcoin for goods or services is a barter deal that realizes a gain or loss
- —Form 1099-DA covers only trades a broker can see, not self-custody transfers
- —A proposed small-transaction exemption covers only network fees and is not law
- —IRS guidance priorities: crypto lending, income characterization and cost-basis tracking
Why it matters: The guidance raises the tax and record-keeping burden for bitcoin spenders and could discourage its use as a payment method.
Source: TokenPost