Crypto Taxes Explained: 1099-DA, Wallet Transfers, IRAs, Losses & IRS Rules (2026 Guide)
Tue Feb 03 2026
This video explains how U.S. crypto tax rules apply to common crypto activity.It covers trading, transfers, fees, losses, and retirement accounts.It reflects current IRS guidance, including Form 1099-DA.Clinton Donnelly, founder of CryptoTaxAudit, and Ben, Director of Crypto Analytics, answer practical questions about crypto tax reporting.They focus on how transactions are reviewed when proceeds, cost basis, or records are incomplete or misunderstood.Topics covered include:• Crypto tax reporting basics and where to start• How Form 1099-DA reports proceeds• Why cost basis reconciliation is required• Whether exchange to wallet transfers can be misclassified• How missing or incorrect data affects tax reporting• Tax treatment of wrapped tokens and staking receipt tokens• How to transfer crypto into an S Corporation correctly• How Celsius bankruptcy losses are typically reviewed• Whether Bitcoin network fees are taxable events• How losses for worthless crypto assets are evaluated• Rules for crypto held in Roth IRAs• Risks of intermingling retirement assets• How retirement withdrawals affect tax bracketsDisclaimer: This video is for educational and informational purposes only.It does not constitute legal, tax, or financial advice.Tax laws and IRS procedures can change.Every situation is different.Consult a qualified tax professional before taking action.Watching this video does not create a client relationship with Clinton Donnelly or CryptoTaxAudit.For personalized guidance, visithttps://www.cryptotaxaudit.com/crypto-tax-consultation
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This video explains how U.S. crypto tax rules apply to common crypto activity.It covers trading, transfers, fees, losses, and retirement accounts.It reflects current IRS guidance, including Form 1099-DA.Clinton Donnelly, founder of CryptoTaxAudit, and Ben, Director of Crypto Analytics, answer practical questions about crypto tax reporting.They focus on how transactions are reviewed when proceeds, cost basis, or records are incomplete or misunderstood.Topics covered include:• Crypto tax reporting basics and where to start• How Form 1099-DA reports proceeds• Why cost basis reconciliation is required• Whether exchange to wallet transfers can be misclassified• How missing or incorrect data affects tax reporting• Tax treatment of wrapped tokens and staking receipt tokens• How to transfer crypto into an S Corporation correctly• How Celsius bankruptcy losses are typically reviewed• Whether Bitcoin network fees are taxable events• How losses for worthless crypto assets are evaluated• Rules for crypto held in Roth IRAs• Risks of intermingling retirement assets• How retirement withdrawals affect tax bracketsDisclaimer: This video is for educational and informational purposes only.It does not constitute legal, tax, or financial advice.Tax laws and IRS procedures can change.Every situation is different.Consult a qualified tax professional before taking action.Watching this video does not create a client relationship with Clinton Donnelly or CryptoTaxAudit.For personalized guidance, visithttps://www.cryptotaxaudit.com/crypto-tax-consultation