Coinbase Earn

Forum|Forum|3 years ago
January 28, 2023
1 reply
20 views

From watching videos/doing quizzes, I've received around $14 dollars in different types of crypto for the 2022 year. My question is, do I need to report it? For clarification, I have NOT Sold/Trade/Exchanged any of it. I just enjoy watching the little powerpoints. I've reading from posts here that you do if you traded or sold. But again, I have not done anything with them yet nor am I planning to. Thank you for your time.

Best answer by JohnB5677

Although you didn't dispose of the currency, you acquired it from something other than purchasing it. You may have received it for services, an Airdrop, or a hard fork. In any case it is taxable.

Airdrops and hard forks are taxed as ordinary income, at the market value the asset had when you received and took full control of it. So, if you receive tokens from an airdrop—whether you wanted to or not—you must report them on your tax return.

To include this on your return:

Go to Federal
Wages and Income
Scroll down to Miscellaneous Income
Select Other reportable Income from the Drop-Down
Follow the Interview

JohnB5677Answer

Level 15

Although you didn't dispose of the currency, you acquired it from something other than purchasing it. You may have received it for services, an Airdrop, or a hard fork. In any case it is taxable.

To include this on your return: