Thursday, October 17, 2024

Reporting Bitcoin sales from a very old wallet balance

So back in 2013 I pool-mined like $3 in Bitcoin and forgot about it. Come 2023 I found out it was still sitting in my wallet and worth almost $1000, so I moved it all to CashApp and sold it off within the year. So now I've got a 1099B from CashApp, which only reports total proceeds. Supposedly I have to fill out a form 8949 to show individual sales.

So here's my question: Do I have to file something special to show that mining event way back before the law even considered it taxable? Or can I just use form 8949, reporting the 2013 date for when the amount was acquired (box 1b), followed by the 2023 CashApp sale date (box 1c) and that's good enough since it's all gain and no cost-basis?

I really thought it'd just be the 1099B and I wouldn't have to bother with anything more.


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