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 Key Takeaways:
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 <li>White House proposal aims at global tax transparency.</li>
 <li>Affects major cryptocurrencies like BTC and ETH.</li>
 <li>IRS to enforce from January 2026.</li>
 </ul>
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The proposal highlights the U.S. government's efforts to align with international tax frameworks and reduce offshore tax evasion. Market reactions include volatility in Bitcoin and Ethereum prices.
The White House is advancing a proposal for the IRS to tax outbound crypto holdings by joining the <a href="https://www.oecd.org/" rel="noopener noreferrer nofollow">OECD’s Crypto-Asset Reporting Framework</a>. This aims to prevent U.S. taxpayers from shifting assets offshore and to level the financial playing field. The IRS, under direction from White House economic advisors, is tasked with enforcing crypto tax compliance. U.S. crypto exchanges will report transactions via 1099-DA forms, beginning in January 2026.
Immediate market effects include price volatility for major assets like Bitcoin and Ethereum. The IRS regulation primarily targets holdings on foreign exchanges and custodial wallets. Investor concerns over compliance burdens have led to short-term fluctuations. The IRS's new authority could potentially shift trading dynamics, especially for assets held on centralized exchanges. DeFi transactions remain exempt, reducing short-term disruptions for these protocols.
Historical comparisons reveal short-term dips following increased reporting requirements but lacking sustained market collapse. In 2019, similar IRS initiatives led to minimal long-term effects. Clinton Donnelly described the move as "the beginning of the end of crypto anonymity," highlighting increased IRS blockchain oversight. The White House proposal underscores global monetary cooperation by aligning with 72 countries in a similar tax framework. DeFi protocols, exempt from CARF, may see increased popularity due to this regulation.
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 <td>Disclaimer: The content on <a href="https://nftenex.com/" rel="noopener noreferrer nofollow">nftenex.com</a> is provided for informational purposes only and should not be considered financial or investment advice. Cryptocurrency investments carry inherent risks. Please consult a qualified financial advisor before making any investment decisions.</td>
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</figure> <a href="https://nftenex.com/white-house-irs-crypto-tax-proposal/" rel="noopener noreferrer nofollow">Read original article on nftenex.com</a>

White House Proposes IRS Tax on Outbound Crypto Holdings

NFTENEX

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