Discussion
Please explain to me like I'm nostr:nprofile1qqs9kqvr4dkruv3t7n2pc6e6a7v9v2s5fprmwjv4gde8c4fe5y29v0spz3mhxue69uhhyetvv9ujuerpd46hxtnfduq3samnwvaz7tmswfjk66t4d5h8qunfd4skctnwv46qzrthwden5te0dehhxtnvdakqae7rfn.
Trump just signed a law that says, βHey IRS, chill out β crypto brokers donβt have to snitch on every little thing.β
So no taxes on crypto or naw?
Naw gang, u still gotta pay taxes on crypto gains
this just means brokers like CB donβt have to report every single trade to the IRS automatically
U still responsible for reporting your own gains (and losses)
Nah. He made an executive order. BIG difference.
He signed a law, not an executive order.
Specifically, he signed H.J. Res. 25, which is a Joint Resolution passed by both the House and the Senate. That makes it an act of Congress β just like any regular law β and once the President signs it, it officially becomes law.
So yeah, this was Congress saying, βWe donβt like that IRS rule,β and Trump signing off to make that cancellation official
My mistake! I thought it hadnt cleared the Senate yet. I can't read....
It ends the βbrokerβ reporting requirement for digital assets that could have made running a Lightning node a paperwork nightmare.
βThis joint resolution nullifies the rule titled Gross Proceeds Reporting by Brokers That Regularly Provide Services Effectuating Digital Asset Sales and issued by the Internal Revenue Service (IRS) on December 30, 2024. The rule generally requires persons effectuating decentralized financial (DeFi) transactions to report certain information regarding digital asset sales to the IRS.β
Repeals a looming massive invasion of privacy by the IRS, related to noncustodial services.
βa regulation requiring all cryptocurrency exchanges β custodial and non-custodial, fiat to crypto and crypto to crypto β to effectively subject their users to Know-Your-Customer (KYC) measures. The rule establishes that custody over funds is not necessary to be deemed a broker by the IRS, obliging βDeFi front-end servicesβ to report trading activity via the 1099 tax form to the agency.β
https://bitcoinmagazine.com/legal/the-current-state-of-the-irs-broker-rule
Explain it to me like Iβm 5 first
Whatβs that mean? Explain it like Iβm a toddler.
π