Bloomberg BNA Quotes Kovacev, Zarlenga on Cryptocurrency Trades in Tax Bill

December 21, 2017

Bloomberg BNA quoted Steptoe tax partners Rob Kovacev and Lisa Zarlenga in an article titled “Bitcoin, Cryptocurrency Trades Face New Liability in Tax Bill.” The article, published December 20, discusses how the sweeping GOP tax bill includes a provision that would increase tax liabilities for investors looking to exchange bitcoin, ether, and other virtual currencies that have soared in value.

Ms. Zarlenga says: “For virtual currency, it’s huge. Now any exchange of virtual currency for virtual currency will be a taxable event.”

Mr. Kovacev says: “If I want to stay invested in cryptocurrencies, I would be able to change from bitcoin to ether and not have to pay tax until the end when I exit the crypto market. Now, that’s not going to be possible.”

The full article can be read at Bloomberg BNA.