United States of America: Implemented IRS and Treasury Final Regulations on Reporting Sales and Exchange of Digital Assets by Brokers

On 9 September 2024, the Internal Revenue Service (IRS) and the US Department of the Treasury (Treasury) regulations on reporting sales and exchanges of digital assets by brokers enter into force. The regulations align with longstanding reporting requirements for traditional financial services. Digital asset owners must now adhere to similar reporting obligations, ensuring taxpayers can file accurate returns and pay taxes owed under current law. The final regulations require brokers to report gross proceeds from the sale of digital assets and provide information on the tax basis for certain digital assets.