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Does Notice 2014-21 Need an Update? An Analysis of Potential Tax Classifications for Cryptocurrency

Stephan A. Davenport & Spencer C. Usrey

ATA Journal of Legal Tax Research2023https://doi.org/10.2308/jltr-2022-003article
AJG 1ABDC C
Weight
0.55

What the paper says

ABSTRACT The IRS issued Notice 2014-21 in which they classify cryptocurrency as property. However, the variety and usage of cryptocurrency has increased since Notice 2014-21 so that cryptocurrency has become a significant and widely accepted component of the global financial system. Cryptocurrency includes a diverse group of digital assets with different origins and uses. One type of cryptocurrency, Bitcoin, has been adopted as legal tender in two countries. Yet the IRS guidance for reporting cryptocurrency has not changed. In this paper, we examine the current regulatory framework regarding cryptocurrency. Next, we discuss alternative tax treatments for cryptocurrency and the tax effects of those potential treatments. Finally, we make policy recommendations for the tax treatment of cryptocurrency.

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https://doi.org/https://doi.org/10.2308/jltr-2022-003

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@article{stephan2023,
  title        = {{Does Notice 2014-21 Need an Update? An Analysis of Potential Tax Classifications for Cryptocurrency}},
  author       = {Stephan A. Davenport & Spencer C. Usrey},
  journal      = {ATA Journal of Legal Tax Research},
  year         = {2023},
  doi          = {https://doi.org/https://doi.org/10.2308/jltr-2022-003},
}

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Does Notice 2014-21 Need an Update? An Analysis of Potential Tax Classifications for Cryptocurrency

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Evidence weight

0.55

Balanced mode · F 0.40 / M 0.15 / V 0.05 / R 0.40

F · citation impact0.51 × 0.4 = 0.21
M · momentum0.80 × 0.15 = 0.12
V · venue signal0.50 × 0.05 = 0.03
R · text relevance †0.50 × 0.4 = 0.20

† Text relevance is estimated at 0.50 on the detail page — for your query’s actual relevance score, open this paper from a search result.