Bitcoin · Ethereum · DeFi · NFTs · Mining · Staking
Attorney Darrin T. Mish has resolved over $100 million in IRS tax debt across 32 years of exclusive tax controversy practice. He understands cryptocurrency — and he knows how to make your IRS problem go away.
Written by a tax attorney with 32 years of IRS resolution experience.
The IRS treats unreported cryptocurrency as tax evasion. Here's exactly what happens when they catch up — and they will catch up.
Read more →IRS EnforcementBlockchain analytics, exchange summonses, and AI-powered detection. The IRS has invested heavily in finding unreported crypto income.
Read more →ResolutionVoluntary disclosure, streamlined filing, and quiet disclosure — the paths available to crypto holders who need to get right with the IRS.
Read more →SettlementThe IRS will accept less than you owe on crypto tax debt through the Offer in Compromise program. Here's how the settlement math actually works.
Read more →FilingYears of unfiled crypto returns create a compounding problem. Here's the process for getting caught up and what the IRS expects.
Read more →PenaltiesCrypto tax penalties can exceed the original tax liability. Three IRS programs can reduce or eliminate them entirely.
Read more →DeFiSmart contracts, liquidity pools, yield farming, and gas fees create tax reporting nightmares. Here's what the IRS expects and how to fix it.
Read more →CollectionThe IRS can garnish your wages and seize your bank accounts for unpaid crypto taxes. Here's how to stop collection action fast.
Read more →RepresentationCPAs prepare returns. Tax attorneys fight the IRS. When you owe money on crypto, the distinction matters enormously.
Read more →ValuationFair market value, specific identification, FIFO, HIFO — the valuation method you choose dramatically affects what you owe.
Read more →ResolutionYou sold crypto at a profit, reinvested, watched it crash, and now owe taxes on money you no longer have. This is the most common crypto tax trap.
Read more →IRS EnforcementThe IRS has served legal demands on every major crypto exchange. If you traded on any of them, the IRS may already have your records.
Read more →ComplianceThe IRS treats airdrops as ordinary income at fair market value when received. Most crypto holders never reported them.
Read more →Tax LawThe crypto wash sale loophole is closing. Here's what the new rules mean for tax-loss harvesting strategies and existing positions.
Read more →FilingExchange shutdowns, lost wallet keys, missing CSVs — you can still file and resolve your crypto tax situation even without perfect records.
Read more →FilingFiling late triggers penalties that start at 5% per month and compound from there. Here's how to minimize the damage.
Read more →ComplianceEvery crypto sale, swap, and disposal goes on Form 8949. Here's exactly how to report it — and what happens when you get it wrong.
Read more →ComplianceMost crypto taxpayers don't get caught because they cheated. They get caught because they didn't know what counted. Here's the complete reporting playbook — every form, every trigger, every mistake the IRS is looking for.
Read more →EstateCryptocurrency inherited from a deceased person gets a stepped-up basis. Understanding this rule can save you thousands in taxes.
Read more →Tax LawGiving crypto to family or friends has tax consequences for both giver and receiver. Here's what the IRS requires.
Read more →Tax LawFrom Notice 2014-21 through the latest regulations — a complete map of how the IRS has addressed crypto taxation.
Read more →Tax LawSome taxpayers claimed crypto-to-crypto trades were tax-free 1031 exchanges. The IRS disagrees — and they're coming after those returns.
Read more →ResolutionFTX, Celsius, BlockFi, Voyager — when your exchange collapses, the tax implications are complex. Here's how to handle it.
Read more →ComplianceThe IRS is prosecuting fraudulent crypto tax schemes. Make sure your tax strategy is legitimate — here's how to tell the difference.
Read more →TradingDay trading crypto generates hundreds of short-term capital gains events. The IRS expects every one of them reported — here's what you need to know.
Read more →MiningMined crypto is ordinary income when received, plus self-employment tax. Equipment deductions, electricity costs, and business structure all matter.
Read more →StakingThe IRS says staking rewards are taxable income when received. A recent court case may have changed that — here's the current landscape.
Read more →StrategySelling losing crypto positions to offset gains is legal and effective — but the rules are changing. Here's how to do it right.
Read more →BusinessCryptocurrency paid as wages is subject to income tax withholding, FICA, FUTA, and Form W-2 reporting. The IRS is very clear on this.
Read more →Tax LawCrypto division in divorce triggers capital gains, valuation disputes, and hidden asset investigations. The tax consequences are often overlooked.
Read more →NFTNFT creators owe income tax and self-employment tax on every sale and royalty payment. The IRS treats you as a business.
Read more →IRS EnforcementThe IRS has sent over 10,000 crypto compliance letters. If you received one, here's exactly what it means and what to do.
Read more →Tax LawFederal crypto taxes get the headlines, but state taxes can add another 13% to your bill. Moving states has consequences too.
Read more →CriminalThe IRS CI division has a dedicated crypto unit. Here's when a tax problem crosses the line into criminal territory — and how to stay on the right side.
Read more →InternationalHolding crypto on Binance, KuCoin, or other foreign exchanges triggers FBAR and FATCA reporting. Penalties for non-compliance start at $10,000.
Read more →AuditCertain patterns on your tax return signal crypto audit risk. Here's what triggers IRS scrutiny — and how to minimize your exposure.
Read more →ResolutionIf you cannot afford to pay your crypto tax debt, the IRS can place your account in CNC status — stopping all collection action.
Read more →ComplianceCrypto investors often owe large, unpredictable amounts. Missing estimated payment deadlines triggers penalties that stack fast.
Read more →ResolutionSome tax debts can be eliminated in bankruptcy. Whether your crypto tax qualifies depends on specific timing rules. Here's the analysis.
Read more →EmergingVirtual land in Decentraland, Sandbox, and other metaverses is taxable property. Buying, selling, and earning income in the metaverse all have tax consequences.
Read more →DeFiLending crypto through Aave, Compound, or MakerDAO has tax implications the IRS hasn't fully addressed. Here's what we know and don't know.
Read more →DeFiBridging ETH to Arbitrum or wrapping BTC into WBTC may trigger taxable events. The IRS hasn't said — and that's the problem.
Read more →TradingLeveraged crypto trading amplifies gains — and the tax consequences. Liquidations, funding fees, and margin interest all have tax implications.
Read more →ComplianceIf your CPA or tax preparer incorrectly reported your crypto, you still owe the IRS. But you may have recourse against the preparer.
Read more →Tax LawThe IRS classifies crypto activity as hobby or business — and the classification determines whether you can deduct losses and expenses.
Read more →StrategyCapital losses from crypto can offset gains and reduce your tax bill — but annual deduction limits and carryforward rules apply.
Read more →ResolutionCan't pay your crypto tax bill in full? The IRS offers multiple payment plan options — from automated agreements to partial pay installments.
Read more →ComplianceSwapping one crypto for another is a taxable event. Converting stablecoins, trading altcoins, and unwinding positions all trigger tax obligations.
Read more →Tax LawWhen a blockchain forks and you receive new tokens, the IRS says you owe income tax. Revenue Ruling 2019-24 makes this clear.
Read more →IRS EnforcementIf the IRS has subpoenaed your records or your exchange has notified you of a summons, immediate action is critical. Here's your playbook.
Read more →ComplianceWinning crypto through gambling — on-chain casinos, prediction markets, or sports betting — is taxable income. Losses are deductible only against wins.
Read more →ComplianceSelling on an exchange, peer-to-peer, through a Bitcoin ATM, or via a crypto debit card — each method has the same tax consequence.
Read more →StrategyCoinTracker, Koinly, CoinLedger, and TaxBit automate the math — but they don't protect you from the IRS. Know their limitations.
Read more →StrategyA CRT can defer or eliminate capital gains on appreciated crypto while providing income and a charitable deduction. Here's how it works.
Read more →ResolutionBefore the IRS can levy your assets for crypto tax debt, you have the right to a hearing. This hearing can change the outcome entirely.
Read more →ResolutionIf your spouse traded crypto without your knowledge and created a joint tax liability, innocent spouse relief under §6015 may protect you.
Read more →IRS EnforcementThe IRS is dramatically expanding crypto enforcement. New reporting rules, increased audits, and enhanced blockchain analytics are all coming.
Read more →ComplianceCriminals impersonate the IRS, create fake tax notices about crypto, and file fraudulent returns using stolen identities. Here's how to protect yourself.
Read more →EmergingDAOs exist in a tax classification limbo. Members who receive tokens, vote on proposals, and earn distributions face real tax obligations.
Read more →Tax LawThe IRS generally has 3 years to audit and 10 years to collect — but crypto-specific exceptions can extend both periods dramatically.
Read more →Tax LawPurchasing property with Bitcoin or other crypto is a taxable event — you owe capital gains tax even though you didn't convert to cash first.
Read more →ResolutionThere is no formal crypto tax amnesty program — but the window for voluntary correction narrows with every IRS enforcement expansion.
Read more →BusinessIf your crypto business fell behind on payroll taxes, the IRS can hold you personally liable for 100% of the withheld amounts. Here's what you're facing.
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