Have you received IRS Form 1099 K for cryptocurrency transactions made in the 2021 tax year? Ensure to report the payment on your tax return form. Efile 1099 K for cryptocurrency transactions.
Efile 1099 K for Cryptocurrency transactions such as Coin base, Uphold, etc. To stay away from tax compliance & unwanted penalty risks, cryptocurrency exchanges must be reported to the IRS and the customers within the deadline.
When do you receive a 1099 K Form Cryptocurrency?
If you invest in cryptocurrency exchanges like Bitcoin, coin base, Uphold, etc & trade vigorously, then you receive income. The income may be directly credited to your account via third-party networks. In this way, the payments you have received fall under “Third-party network transaction”. Therefore, the payments made to individuals via third-party networks of $600 or more in a tax year require “Form 1099 K”.
What exactly is IRS 1099 K Tax Form?
Form 1099 K is famously known as “Payment card or third-party network transaction return form”. Because it is used to report payment card transactions of $600 or more made to an individual in a tax year. Also, it reports third-party network transactions (Cryptocurrency exchanges) of $20,000 or more with 200 individual payments in a calendar year.
When to file a 1099 K Tax Return?
According to the IRS, Payment settlement entities or else cryptocurrency agencies file Form 1099 K at the year-end. Also, they are required to send out 1099 K copy B to the recipient by “January 31st” every year.
The due date to file Copy A with the IRS on two different dates. If you choose to submit form 1099 K via paper, then start filing on or before “February 28th” every year. In case, if filing 1099 K online with an IRS authorized e-file provider, file by “March 31st, 2021”.
How easy is the 1099 K e-file with Form 1099 Online?
Form 1099 Online provides easy e-filing with zero hassles. Yes, businesses like cryptocurrency agencies can store their payment info securely & can use it when filing 1099 K with us. With in-built system software easily import Form 1099 K filing info & finish your filing in minutes.
Besides, when you get stuck up in the middle of e-filing, use our customer service & resolve your query instantly. Our customer supports highly US-based with an easy-to-use interface. Follow the simple steps & get started with Form 1099 Online:
Start for free by clicking on the “Sign up “button
Add your business info
Choose the tax return you are filing for 2021-22
Key in the required details
Review the info & submit it to the IRS
Note:- No hidden charges, neither signup fee. Also, no additional software installation is required.
Business owners/taxpayers stay away from IRS Tax compliance by filing Form 1099 on time regularly. Don’t waste your time. Already 1099 Tax Season has begun & the IRS started accepting the returns. No more worries! Stay a step ahead by filing Form 1099 Online in advance. Say goodbye to penalties & interests by filing the 1099 Tax Form within the Form 1099 due date.