The U.S. Internal Revenue Service (IRS) recently released an early draft of the updated 1099-DA form. This form is used by brokers to report certain digital asset sales and exchange transactions starting from the 2025 calendar year. Typically, these forms will be sent to taxpayers and the IRS in early 2026.
“This new form will provide clearer information to taxpayers and serve as another tool to help them accurately report digital asset transactions,” said IRS Commissioner Danny Werfel. “We know that third-party reporting significantly improves compliance with national tax laws. This step will also help ensure that digital assets are not used to conceal taxable income, particularly in high-income categories, while providing more information to compliant taxpayers to accurately report their income.”
As part of the process of finalizing the form, the IRS has posted the new draft of the 1099-DA form and recipient instructions on the IRS.gov website. The IRS expects to release the draft of the filer instructions soon. After the release of the draft filer instructions, a notice will be published in the Federal Register, allowing for a 30-day public comment period.
