We could generate billions in crypto tax revenue from people who want to pay. They’re not hiding. They’re confused and scared of getting crushed for mistakes. 1099-DA Forms are putting the crypto industry in a terrible position: comply perfectly or risk penalties. There’s a solution: a Crypto Voluntary Disclosure Program. Let people come forward, pay tax + a manageable penalty, and move on. In the past, a voluntary disclosure program allowed people to come forward, report their assets, pay a small penalty and tax, and move on. We need the same type of program for the crypto industry. #CryptoTaxes #Crypto #GordonLaw

The IRS's coming "cheaper" voluntary disclosure program is still aimed at people with possible criminal exposure. What about the guy who just forgot to report a 2021 swap? Honest mistakes need their own on-ramp. That's the point of Section 502 in the crypto tax bill I helped push, and it's not law yet. Get your records ready either way.

If you got your crypto taxes wrong, you may soon be able to fix them with a 0% penalty. I helped write the bill. Here's what it actually says. With 1099-DAs, your exchange now reports your crypto sales straight to the IRS. If your past returns don't match, that's a problem. I've been working on this for a long time, so here's the story. Over the last year I met with more than 60 congressional offices and with the House Ways and Means Committee. I kept making the same case: Most crypto holders who got their taxes wrong aren't criminals. They used bad software. They had no cost basis. They didn't know a swap counted as a sale. Right now they have no clear, affordable way to come forward. That's what this bill fixes. On Sept 16, Ways and Means voted 38–5 to advance H.R. 10357, the Digital Asset Tax Certainty Act. Section 502 creates a Digital Asset Voluntary Disclosure Program. Here's what it does in plain English: → Treasury has 12 months after the law passes to open the program → You then have 24 months to file amended returns and pay the tax plus interest (installment plans are allowed) → If you certify, under penalty of perjury, that your mistakes weren't willful: 0% penalty on the first $25K of tax owed per year, and 5% above that, if you file in the first 12 months → Wait longer and the rates go up → If you can't certify, it's a 25%/40% penalty, but what you disclose can't be used to refer you for criminal prosecution If you're already under audit, you'd need a waiver to get in. Why this matters now: 1099-DAs give the IRS a map. People who fix their returns before the IRS finds the gap will be in a much better spot than people who wait for a letter. It's not law yet. It still needs a vote on the House floor, the Senate, and the President's signature. So two things: 1. Start getting your records in order now. The 0% window rewards people who are ready on day one. 2. Tell your representative to keep Section 502 in the bill. If this passes, would you use it?

Kraken's parent wants to run CFTC-regulated perps on Hyperliquid. The tax angle nobody's noticing: if those count as Section 1256 contracts, gains get 60% long-term / 40% short-term treatment, no matter how long you held. Big if. Would you move your perp trading for it?

The IRS just told a room full of tax pros it wants to make confessing your tax sins cheaper. Crypto included. Here's what was said, and what it doesn't fix. At the UCLA tax controversy conference, IRS Criminal Investigation Chief Jarod Koopman said a revised voluntary disclosure program is coming before December. The goals: resolve cases within 120 days of a complete submission, substantially lower penalties, and the option to pay through installment plans or an offer in compromise. That's real progress. Today the process can drag on for a year or more. But read the fine print. The IRS voluntary disclosure program is built for willful noncompliance. People whose conduct could expose them to criminal prosecution. Most crypto investors I talk to aren't that. A typical case: someone traded on three exchanges in 2021, used a couple of DeFi apps, lost track of transfers, and filed with whatever their software spit out. That's a mess. It's not a crime. There's also no separate track for digital assets, and no penalty numbers yet. So the honest-mistake crowd is still stuck choosing between: • Amending and hoping • Doing nothing and waiting for a letter • Walking into a program designed for people facing criminal exposure That gap is exactly why I helped write Section 502 of the Digital Asset Tax Certainty Act, and why I've met with 60+ congressional offices and the Ways and Means Committee. It creates a path for people who made unintentional crypto reporting errors to come forward and fix them. It cleared Ways and Means in September. Faster IRS disclosure is good news. It's just the right tool for a different problem. If your past crypto returns have gaps, step one is the same either way: rebuild your transaction history and know your number before the IRS does.

I spent a year in 60+ congressional offices pushing for this. If you got your crypto taxes wrong, Section 502 of H.R. 10357 could let you fix them with as little as a 0% penalty. It's not law yet. Get your records ready now.

Not reporting your crypto losses is rugging yourself. Losses can: • Offset gains • Deduct up to $3k/yr against income • Carry forward forever Free money left on the table.

The IRS isn't guessing anymore. 1099-DAs mean they already know what you sold on Coinbase, Kraken & more. If your return doesn't match, expect a letter. Reconcile now, not after the notice.

Good news for Illinois crypto investors: the horrible 0.2% tax has been delayed until July 1, 2026. Bad news: it’s not dead, just delayed.

In the last week I’ve heard from several clients receiving IRS letters about crypto. These include Letter 6174, 6173, and CP2000 Notices. If you received one, here’s what you need to do right away👇 Share this and get the word out!

This should have been in Chicago, but Illinois scared Ken Griffin away

We need to keep businesses here, not chase them away with taxes and crime.

Illinois published the draft rules today on the first crypto tax in the nation on holdings and losses.

Illinois is moving forward with the nation’s first crypto tax, to take effect January 1, 2027. It applies even if you don’t have gains AND on your holdings. This is a disguised wealth tax.

The IRS is sending out more 6174 and 6173 letters to crypto investors who didn’t report fully on their taxes. After working with thousands of crypto investors my advice is simple - whether you received a Letter or not, if you have unreported crypto now is the time to clean it up.

Big step forward for tax compliance in America

IRS requiring crypto exchanges to report trades on Form 1099-DA is intended to make things easier for taxpayers. It’s not. Preparing a return takes longer. IRS Notices are sent out if you don’t match the Form exactly. Audits are coming. I spoke to @Cointelegraph about this. cointelegraph.com/magazine/e…

Laws are made with crypto investors in mind when we stop leaving it to others, and start showing up. Thank you @joeysantoro for sharing your story and experiences with staffers in DC. We are making a difference.

Clarity failed in the senate. Digital Asset Tax Certainty Act passed in committee. It is the crypto bill that can impact how much you pay in taxes. It had a lot of wins for the industry. But be aware of how it could change your losses. youtu.be/JGHV_ShHYN0?si=3RWW…