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Virtual Currency Question

garman22
Level 12
Level 12

Is the new virtual currency question a mandatory question that must be checked?

If so, shouldn't there be an error if its not answered? 

 

@IntuitAustin and is there anyone else who actually visits here anymore?

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2 Solutions

Accepted Solutions
RollTide68
Level 8

It's required if Schedule 1 is part of the return.  It will give you an error on the 1040/1040SR worksheet if you have a schedule 1.

View solution in original post

rrg27
Level 2

I believe they said it would default to no if left unanswered

View solution in original post

10 Replies 10
RollTide68
Level 8

It's required if Schedule 1 is part of the return.  It will give you an error on the 1040/1040SR worksheet if you have a schedule 1.

View solution in original post

garman22
Level 12
Level 12

Ah, makes PERFECT sense. Many Thanks @RollTide68 and @rrg27 !!

itonewbie
Level 15

But even if the taxpayer is not otherwise required to file Sch 1 but has engaged in any virtual currency transactions as described, Sch 1 will still need to be filed.

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Still an AllStar
garman22
Level 12
Level 12

Agreed @itonewbie . I was concerned with the error checking. If its left unchecked and "no" is auto default, Im content. If Sch 1 is present, then error will occur (if I fail to check). If no Sch 1, "no" will be default so no error is necessary. It will be up to us to check the box for yes responses. 

 

I hope that makes sense. 🙂

itonewbie
Level 15

@garman22 Yeah, defaulting that to no makes it easier to slip through the cracks in the heat of the busy season.

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Still an AllStar
glw1861
Level 1

I agree, a lot of return returns will be filed without checking this box, since they won't go to Schedule 1 and look for it.

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Right you are on all counts, but final review tells you about it anyhow..I was interpreting that highlight as meaning that you somehow had to check the NO box, but you cant (solid dark border)

What do you if you don't have Schedule 1 activity and still have to check the box because of virtual?

Art Robinson WAMS

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RollTide68
Level 8

What do you if you don't have Schedule 1 activity and still have to check the box because of virtual?

Art Robinson WAMS

You can check the box on the 1040/1040SR Worksheet Schedule 1 section

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gary1861
Level 4

You can check it on the 1040/1040SR worksheet (not on Schedule 1).  Then it will be checked on Schedule 1.  What happens on an e-filed return, I have no idea, but at least if you print out the return it will be marked to protect you.

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rrg27
Level 2

I believe they said it would default to no if left unanswered

View solution in original post