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did you have any financial interest in digital asset--want to be 100% sure

From what the help menu explains 

1. If I only purchased digital assets

2. Didn't sell them

3. Did NOT earn from staking

 

I should answer NO to this question.

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1 Best answer

Accepted Solutions
KrisD15
Expert Alumni

did you have any financial interest in digital asset--want to be 100% sure

That is correct, you would answer "NO". 

 

According to the IRS:

“Normally, a taxpayer who merely owned digital assets during 2022 can check the "No" box as long as they did not engage in any transactions involving digital assets during the year. They can also check the "No" box if their activities were limited to one or more of the following:

  • Holding digital assets in a wallet or account;
  • Transferring digital assets from one wallet or account they own or control to another wallet or account they own or control; or
  • Purchasing digital assets using U.S. or other real currency, including through electronic platforms such as PayPal and Venmo.”

IRS Source 

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3 Replies
KrisD15
Expert Alumni

did you have any financial interest in digital asset--want to be 100% sure

That is correct, you would answer "NO". 

 

According to the IRS:

“Normally, a taxpayer who merely owned digital assets during 2022 can check the "No" box as long as they did not engage in any transactions involving digital assets during the year. They can also check the "No" box if their activities were limited to one or more of the following:

  • Holding digital assets in a wallet or account;
  • Transferring digital assets from one wallet or account they own or control to another wallet or account they own or control; or
  • Purchasing digital assets using U.S. or other real currency, including through electronic platforms such as PayPal and Venmo.”

IRS Source 

**Say "Thanks" by clicking the thumb icon in a post
**Mark the post that answers your question by clicking on "Mark as Best Answer"

did you have any financial interest in digital asset--want to be 100% sure

Can someone tell me,  in what section would I find this prompt?

ErnieS0
Expert Alumni

did you have any financial interest in digital asset--want to be 100% sure

There is no section for the digital asset question. It comes up after you complete Wages & Income. Depending on what's on your return, you may see several screens before the question pops up.

 

Tap Wages & Income in the left column, then Continue at the bottom.

 

If you somehow missed it, TurboTax will ask you during Federal Review.

 

@JayKepps

 

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