DianeW777
Expert Alumni

Get your taxes done using TurboTax

No, you should not leave it off of your tax return if you paid for the digital currency and it is now worthless. The cost would reduce your other taxable income.

 

When I test your scenario I entered the following:

  1. Number of units: .0000000567
  2. I selected 'Something other than a date' and then selected 'Various'
  3. Sales date: 12/31/2025
  4. Proceeds: 0 (entered the zero)
  5. On the screen 'Let us know if any of these situations apply to this sale' I selected 'None of these apply'

When I land back on the 'Review Sales' screen the 'Needs Review' is no longer there.

 

Please update if you do not obtain your desired results.

 

@supertom 

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