[bobyfyfy]

Is that a problem?

[BitwiseFool]

It's one of those things that gets complicated pretty quickly. Essentially, for every transaction you make you have to determine if you made a profit or a loss with your crypto. The purchase date of the crypto you're converting into USD matters because you need that for short-term vs long-term capital gains. This problem also gets worse if you buy crypto at regular intervals, like I often do, because now you have different gain/loss potentials in the same transaction.

Sure, a program can calculate this for you, but it does make filing more complicated. You'll probably have a very long list of items on your 1099.

[seibelj]

Look at the crypto trader's tax return and its 99 pages of forms and 999 pages of trade history. The government demands it!

[icedchai]

It's easier to forget about it and wait for them to fine you. Unless you're buying lambos, it probably won't happen.

[eachro]

It sounds like a big hassle for you or your accountant.

[apta]

Yes. They're hampering the adoption of cryptocurrencies.