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Internal Revenue Service issued preliminary guidance on applying general tax principles to virtual currencies that have an equivalent value in real currency or acts as a substitute for one. The IRS does not view cryptocurrency as generating foreign currency gain or loss for U.S. federal tax purposes; rather, it treats the currency as property. Taxpayers can be at ease in tracking all of their virtual currency transactions. The accounting of crypto transactions can also be automated at any scale for individuals and businesses alike. For independent contractors, receiving cryptocurrency for performing services are also subject to self-employment tax.