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The 2025 tax season is almost here, officially kicking off on January 27th! If you have been active in the crypto space, knowing what tax forms to expect and how to handle them is crucial. Here is a breakdown of what you should look out for from crypto platforms.
In this photo illustration a nitizen holds a physical commemorative Bitcoin. On Tuesday, January 5, … [+]
Form 1099-MISC
This form reports your 2024 income from staking or other rewards. You will receive a 1099-MISC if your income from these activities exceeds $600. If it is below $600, you will not get a form, but you are still required to report the income on your tax return.
The amount from Form 1099-MISC should be entered on Schedule 1, Line Z of your tax return.
Form 1099-B
This form lists your crypto trades and the gains or losses associated with them during the tax year (January 1 to December 31, 2024). Currently, only a few platforms, such as Robinhood, PayPal, Etoro, Uphold, and CashApp, provide Form 1099-B.
Transfer the information from Form 1099-B to Form 8949 and Schedule D when filing your taxes.
Transaction History Reports or CSVs
For most crypto exchanges, wallets, or DeFi platforms, you will not receive formal tax documents like 1099-Bs. Instead, you will need to rely on transaction history reports or CSV files. These reports often lack accuracy or completeness since they only reflect transactions within a specific platform. Using unreconciled data might lead to overpaying taxes unnecessarily.
Use a a dedicated crypto tax software to connect all your exchanges and wallets securely (read-only access). These tools can reconcile your annual gains and losses and generate Form 8949 and Schedule D for accurate reporting.
A Note on Form 1099-DAs
Starting with the 2025 tax year, Form 1099-DAs will replace 1099-Bs for reporting crypto trades. For this current tax season, you will not see any 1099-DAs. Keep this change in mind as it may affect your tax preparation process next year.
Disclaimer: this post is informational only and is not intended as tax advice. For tax advice, please consult a tax professional.
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