Question
Yuri bought and sold crypto several times during the year. He tries to log his transactions but isn't sure he got them all. He brought
Yuri bought and sold crypto several times during the year. He tries to log his transactions but isn't sure he got them all. He brought you the information he has. As his tax preparer, how would you proceed?
Use the transactions Yuri is certain of and complete Form 8949. Use that information to prepare the return.
Suggest that Yuri make his best estimate of the missing transactions and report those amounts in addition to the transactions he is certain of.
Suggest that Yuri use a crypto calculator to gather the data needed to accurately report his transactions.
Report the transactions Yuri is certain about on Form 8949, using the records he provides. Then, attach an electronic filing note (e-file note) stating that the information provided is incomplete. The IRS will notify Yuri of any discrepancies.
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started