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Internal Revenue Service States That Crypto Earnings Can Be Taxed Like Ordinary Income
Summary: The Internal Revenue Service (IRS) plans to tax crypto assets received as payment for a service like ordinary income, according to a recent memorandum from the regulatory body. The document states that a person who receives a convertible digital asset in return for performing microtasks from a crowdsourcing platform can be taxed as if the ...
The Internal Revenue Service (IRS) plans to tax crypto assets received as payment for a service like ordinary income, according to a recent memorandum from the regulatory body.
The document states that a person who receives a convertible digital asset in return for performing microtasks from a crowdsourcing platform can be taxed as if the funds earned are ordinary income.
Crowdsourcing means calling on a number of people to work towards completing a larger project. Crowdsourcing platforms allow vendors to advertise tasks which developers accept.
These platforms often break projects down into microtasks, the memorandum emphasized that payment in crypto for these smaller tasks is still taxable.
By Emily Mason
Tags: Crowdsourcing,Crypto Taxes,IRS,Taxes
Link: Internal Revenue Service States That Crypto Earnings Can Be Taxed Like Ordinary Income [Copy]
