IRS seeks to mandate electronic 1099-DA tax form delivery for crypto brokers

The United States Internal Revenue Service has proposed rules that would require crypto brokers and exchanges to deliver Form 1099-DA to users electronically instead of on paper. If finalized, the framework would apply from Jan. 1 of the calendar year following publication of the final rules and would allow brokers to end relationships with customers who refuse electronic delivery. The proposal comes as millions of Americans hold digital assets and many report difficulty understanding and complying with crypto tax obligations.