Transactions involving the borrowing and lending of units of virtual currency (or crypto loans) are increasing in number and type. Lacking Treasury or IRS guidance with respect to crypto loans, potential tax issues that arise from these transactions must be analyzed and understood in accordance with broad, general tax principles established by case law and based on government guidance developed in other tax areas.
Are Crypto Loans Taxed as Loans?
By McDermott Will & Emery on September 18, 2020
Posted In IRS Guidance, Tax Reform