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A comment on IRS tests free e-filing system that could compete with tax prep giants. Parent comment

Re:IRS tests free e-filing system that could compete with ta... by all2 on Monday May 15, 2023 @02:26PM (#35952486)
Do you have investments or businesses of any type? Do you itemize your deductions?

My biggest time sink this year was sorting out how to file crypto gains/losses. After two hours of struggle, I found that I had to pay income tax on about 15 dollars of capital gains.

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Re:IRS tests free e-filing system that could compete with ta... by whimsicalism on Monday May 15, 2023 @02:27PM (#35952514)
I just take the standard deduction.

Investments: Yes, I have to file a 1099. Business: no.

Crypto: I think your holdings have to be significant for it to matter whether you file this or not, maybe I broke a law here.

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Re:IRS tests free e-filing system that could compete with ta... by iends on Monday May 15, 2023 @02:52PM (#35952887)
You broke the law if you sold crypto, regardless of amount.
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Re:IRS tests free e-filing system that could compete with ta... by whimsicalism on Monday May 15, 2023 @03:02PM (#35953029)
Realistically what penalty do you think GP would face if they had failed to report those $15 in capital gains.
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Re:IRS tests free e-filing system that could compete with ta... by maxerickson on Monday May 15, 2023 @08:47PM (#35956492)
Sure, but that isn't what they are saying, they are saying that the tax code is that you report the gain.

I think most people don't report interest that is below the reporting threshold for the bank either. Doesn't change what the tax code says you are supposed to do.

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Re:IRS tests free e-filing system that could compete with ta... by ac29 on Monday May 15, 2023 @04:50PM (#35954312)
The 2022 1040 has a line that says "At any time during 2022, did you: (a) receive (as a reward, award, or payment for property or services); or (b) sell, exchange, gift, or otherwise dispose of a digital asset (or a financial interest in a digital asset)?"

If the answer is yes, but you put no so that you didnt need to file any additional details, thats definitely illegal.

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