IRS Temporarily Suspends $10,000 Cryptocurrency Reporting Rule

The pause does not affect other digital transaction reporting requirements, and businesses will still be required to report detailed information once the IRS finalizes its regulations.

The IRS has temporarily halted the enforcement of a rule requiring businesses to report cryptocurrency transactions exceeding $10,000.
The rule, which came into effect on January 1, 2024, was designed to treat cryptocurrency transactions similarly to cash transactions.
The pause does not affect a separate law requiring e-commerce and payment platforms to send tax forms to customers receiving $5,000 or more in payments, including digital coins, for goods or services per year starting in 2024.
Cryptocurrency advocacy groups have criticized the $10,000 reporting rule, arguing it is difficult to comply with and infringes on privacy.
Once the IRS finalizes its regulations, businesses will be required to report the details of the person from whom they receive digital funds, the amount received, and the nature of the transaction.