Pre-Audit: The 12-Month Checklist
If the IRS opens an examination of a year with significant crypto activity, they will request transaction records, wallet addresses, exchange account statemen…
-
-
The Quarterly Subledger Workflow
A quarterly subledger is the accounting document that makes year-end tax preparation fast and audit defense possible. This post describes the exact workflow C…
-
Texas Crypto Tax Residency: The Move-Year Playbook
Texas has no personal income tax, which makes it attractive for crypto holders with large unrealized or realized gains. But state tax planning for crypto is m…
-
83(b) Elections for Token Vesting Schedules
When you receive unvested tokens as compensation — whether from a protocol, a startup, or a DAO — IRC Section 83 governs the timing of income recognition. By …
-
Mining: Trade or Business vs Hobby
Whether a mining operation constitutes a trade or business under IRC Section 162 determines whether you can deduct electricity, equipment, and operating costs…
-
Hard Forks and Airdrops: Recognition Timing
Rev. Rul. 2019-24 addressed hard fork and airdrop taxation, concluding that new tokens received in an airdrop are gross income when you have dominion and cont…
-
DeFi Income Categorization: A Decision Tree
DeFi activity generates at least 12 distinct event types, each with a potentially different tax treatment under current IRS guidance. Liquidity provision, wit…
-
NFT Cost Basis: Gas, Royalties, and the Ownership Question
NFT taxation is property taxation under current IRS guidance — but applying the property rules requires answering questions that don
-
Crypto Wash Sales in 2026: What Actually Changed
Under current law, wash-sale rules do not apply to cryptocurrency — a feature that allows tax-loss harvesting strategies not available for securities. The Inf…
-
Seven Koinly Reconciliation Traps That Cost You Money
Aggregation software like Koinly, CoinTracking, and TokenTax works reasonably well for simple portfolios. It fails in predictable ways when your activity invo…
-
CP2000 Notice for Crypto: How to Respond
A CP2000 is a mismatch notice, not a formal audit. It proposes additional tax based on information returns the IRS received that don
-
IRS Letter 6173/6174-A: The 30-Day Response Playbook
IRS Letter 6173 is a compliance check letter — not an audit notice, but a precursor to one. It asks taxpayers to certify that their virtual currency transacti…
-
-
Rev. Rul. 2023-14: Staking Rewards Recognition Timing
In July 2023, the IRS issued Rev. Rul. 2023-14, ruling that staking rewards are gross income in the year received, valued at fair market value at the date of …
-
Form 1099-DA, Line by Line: What Brokers Will Report in 2026
Form 1099-DA — the new broker reporting form for digital assets — introduces standardized reporting requirements that take effect for tax year 2025 transactio…
-
Crypto Tax Loss Harvesting Before Year-End: A 2025 Guide
Maximize year-end crypto deductions with HIFO/FIFO analysis, wash-sale clarity, and recordkeeping that survives scrutiny. A 2025 guide by Saim Akif, CPA.
-
CP2000 Notice for Crypto: What to Do in the First 30 Days
Received an IRS CP2000 for unreported crypto income? Read the notice, gather evidence, and respond within 60 days. Saim Akif, CPA explains every step.
-
How to Reconcile a 1099-DA With the Wrong Cost Basis
Broker-reported 1099-DA basis is often wrong for transferred wallets, hard forks, and gifts. Here is how to fix it with Form 8949 Code B adjustments.
-
Mining Income: Schedule C vs. Hobby — Get It Right
Crypto mining classification determines every deduction you can claim. Saim Akif, CPA walks through the 9-factor hobby test and Schedule C tax benefits.
-
Yield Farming & Liquidity Pool Tax Treatment in 2025
LP token issuance, impermanent loss, reward receipt, and exit events all raise distinct tax questions. Saim Akif, CPA explains the 2025 DeFi tax framework.