Why sign in to the Community?

  • Submit a question
  • Check your notifications
Sign in to the Community or Sign in to TurboTax and start working on your taxes
New Member
posted Mar 28, 2024 11:19:14 AM

Crypto currency

How do I account for crypto losses due to a chapter 11 bankruptcy claims settlement?  Settlement recovery was 35.72%. 

0 1 991
1 Replies
Expert Alumni
Mar 28, 2024 1:16:55 PM

Every bankruptcy case is different, so its hard to answer without knowing more information about your crypto activity. 

 

This article will provide you with good information. Essentially if you were paid from a settlement, you will report a sale with the cost basis being what you purchased the crypto at, and proceeds of what you got back as the settlement.