How to report cryptocurrency earnings on 1099 from Square?

3 answers

• Nov 25, 2021 · 3 years ago
  To report cryptocurrency earnings on a 1099 form from Square, you will need to follow the guidelines set by the Internal Revenue Service (IRS). First, you should determine whether your cryptocurrency earnings qualify as capital gains or ordinary income. If you held the cryptocurrency for less than a year before selling, it will be considered ordinary income. If you held it for more than a year, it will be considered a capital gain. You will need to report the earnings on Schedule D of your tax return. It's recommended to consult with a tax professional or use tax software to ensure accurate reporting.
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• Nov 25, 2021 · 3 years ago
  Reporting cryptocurrency earnings on a 1099 form from Square can be a bit confusing, but here's a general overview. You'll need to report your earnings as either capital gains or ordinary income, depending on how long you held the cryptocurrency. If you held it for less than a year, it's considered ordinary income, and if you held it for more than a year, it's considered a capital gain. You'll need to fill out Schedule D of your tax return and include the earnings from your Square 1099 form. It's always a good idea to consult with a tax professional for personalized advice.
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• Nov 25, 2021 · 3 years ago
  When it comes to reporting cryptocurrency earnings on a 1099 form from Square, it's important to understand the tax regulations. You will need to determine whether your earnings are classified as capital gains or ordinary income based on the holding period of the cryptocurrency. If you held the cryptocurrency for less than a year, it will be considered ordinary income. If you held it for more than a year, it will be considered a capital gain. Make sure to accurately report your earnings on Schedule D of your tax return. If you have any doubts or questions, it's best to consult with a tax professional for guidance specific to your situation.
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