Which IRS rules change crypto reporting?

TLDR

Two rule tracks are changing crypto reporting in the US: Form 1099-DA from domestic brokers and a proposed alignment with the OECDs CARF for offshore accounts.

1. Form 1099-DA: centralized exchanges must report crypto sales for the 2025 tax year, with basis reporting from 2026 %%CKPROTECTED0%%.
2. Offshore transparency: the White House is reviewing a Treasury IRS proposal to implement CARF for foreign crypto accounts The Block report.

Deep Dive

1. 1099-DA Broker Reporting

The IRS is closing the data gap by requiring digital asset brokers to send Form 1099-DA that reports gross proceeds for 2025 transactions, and cost basis starting with 2026 transactions.

1. This adds third-party reporting similar to equities, improving IRS matching of taxpayer returns to exchange reports CNBC update.
2. Several outlets note investors will receive forms for 2025 activity by late January 2026, enabling automated cross-checks with filed returns Yahoo Finance overview.

2. Offshore CARF Alignment

A separate rule under review would align the US with the OECDs Crypto-Asset Reporting Framework, expanding information sharing on Americans crypto held with foreign platforms.

1. The proposal, submitted for White House review, would grant access to US taxpayers digital asset transactions in foreign jurisdictions to curb offshore noncompliance The Block report.
2. Coverage aims to match other jurisdictions automatic exchange of information and, per prior policy statements, avoid adding reporting burdens for DeFi activity at this stage crypto policy summary.

Conclusion

In practice, domestic enforcement will rise first via 1099-DA forms that standardize US broker reporting, followed by potential global transparency if the CARF-alignment rule advances. For most users, the immediate change is receiving 1099-DA and having IRS data-match capabilities improve; offshore account holders could face broader visibility if CARF is implemented.