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12 June 2025

IRS extends and modifies transitional relief for reporting of information and backup withholding on digital assets by brokers

The IRS on June 12, 2025, in Notice 2025-33, extended for an additional year the transitional relief from reporting penalties and backup withholding provided by Notice 2024-56 (see Tax Alert 2024-1385) for brokers who are required to file information returns and furnish payee statements under IRC Section 6045 for certain digital asset transactions. Notice 2025-33 also provides transitional relief to brokers for sales of digital assets for customers that have not previously been classified as US persons. A Tax Alert is forthcoming.

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Published by NTD’s Tax Technical Knowledge Services group; Chris DeZinno, legal editor

Document ID: 2025-1242

 

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