Form 1099-DA and the 1099 series.
Form 1099-DA is the IRS form US crypto brokers use to report what their customers sell or exchange each year. Cost basis, what the customer originally paid, is included starting in 2026. Taxbit filed the first 1099-DA season with zero misses.
The series
Every form in the 1099 series, filed from the same data.
Form
What it reports
1099-DA
Proceeds, and phased-in cost basis, from digital-asset sales and exchanges
1099-K
Payment-card and third-party network transactions
1099-NEC
Non-employee compensation
1099-MISC
Rents, royalties, and other income
1099-INT
Interest paid on customer balances
1099-DIV
Dividends and distributions
1099-R, 5498, RMD
Retirement account distributions, contributions, and minimum distributions
1042-S
US-source income paid to non-US persons, with withholding
1042
The payer's annual withholding return
Gain/loss statements
Realized gain and loss, from the same cost-basis engine
How Taxbit handles it
Raw transactions in. Defensible forms out.
The old way
- Cost basis that breaks the moment assets move between wallets or platforms
- Reconciling huge transaction files at the end of the year
- One process for 1099-DA and a separate one for every other form the same accounts owe
- A legacy vendor that takes your file and emails back errors days later
With Taxbit
- Complete transaction history reconciled into one record per account
- Cost basis resolved across transfers, from your raw data rather than a template
- 1099-DA generated and filed from the same platform, end to end
- The full 1099 series, from 1099-DA and 1099-K to NEC, MISC, and INT, plus 1042-S and state returns, from the same source data
Uphold collected 500K W-9s in three months.
“Together, we have enabled a seamless tax onboarding experience for Uphold's US customers. And as a Taxbit customer myself, I can safely say their team has provided us with world-class support.”
Marco Martins · Lead Product Manager, Uphold
Common questions about 1099-DA and the 1099 series.
What is Form 1099-DA?
Form 1099-DA is the IRS form US crypto brokers use to report their customers' crypto sales and exchanges. It works like Form 1099-B does for stocks, giving the IRS and the customer a record of what was sold.
Who has to file 1099-DA?
US crypto brokers that hold crypto for their customers, including exchanges, some wallet and custody providers, and payment processors that sell crypto for customers. They file a form with the IRS for each reportable customer and send the customer a copy.
When did 1099-DA reporting start?
It covers sales from January 1, 2025, so the first forms were filed in early 2026. Brokers reported sale proceeds first, and cost basis is required for crypto bought from January 1, 2026 onward.
Does 1099-DA require cost basis?
Yes, for crypto bought from 2026 onward. Cost basis is the hard part, because it has to follow crypto as it moves between wallets and platforms, and the record of what the customer paid is often on a different platform from the sale.
How is 1099-DA different from 1099-B and 1099-K?
1099-B covers stock and securities sales. 1099-K covers card and payment app transactions. 1099-DA is just for crypto sales. A platform that sells crypto and also pays out through cards or payment apps may file more than one, and Taxbit creates all of them from the same data.
Is Form 1099-DA related to DAC8?
No. Form 1099-DA is the IRS form for US crypto brokers. DAC8 is the EU's crypto reporting rule, filed with EU tax authorities. A platform with both US and EU customers may need to file both, and Taxbit creates both from the same data.
Which 1099 forms does my platform need?
It depends on what you do. Crypto sales need 1099-DA, card and payment app payouts need 1099-K, payments to contractors need 1099-NEC, and interest or rewards on customer balances need 1099-INT or 1099-MISC. Many platforms file several, and Taxbit creates them all from the same data.
See what the 1099 series means for your data.
1099-DA filed against your own transactions, with cost basis resolved across transfers, and the rest of the forms your accounts owe generated from the same data.
