US Treasury proposes extending foreign-account reporting to crypto assets above $50,000

The US Treasury has proposed extending to cryptocurrencies the requirement to report to the IRS the existence of overseas accounts with assets above $50,000.

Currently, such a rule does not apply to digital currencies.

If approved, the new requirements would come into effect in 2023.

“Compliance with tax laws and enforcement relating to digital assets represents a growing problem. […] Taxpayers may conduct transactions with offshore digital-asset exchanges and wallet providers without leaving the United States.”, the document says.

The proposals also include efforts to apply the Foreign Account Tax Compliance Act to American exchanges.

Earlier, the White House projected additional revenue of $11 billion from cryptocurrency taxes through 2032.

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