Crypto Taxes: The IRS Doesn’t Want You To Know This with Janna Scott

·31 min·3 clips

How many summers do you have left with your kids before time slips away?

The episode begins with a promotional hook about family time and passive income, followed by an introduction to hosts Russ Morgan and Joey Muray. They introduce guest Jana Scott, a former government tax professional who left to start her own firm after seeing inconsistencies in crypto tax reporting. Scott explains that most crypto tax software was built by coders, not accountants, leading to categorization and calculation errors. She tested top products and found they gave different outcomes from the same data, with one showing $25,000 in gains and another showing $351 in losses. Scott reached out to these companies with her findings, but they ignored or blocked her. She details how the SEC and IRS were informed of the inaccuracies but took no regulatory action, with the IRS pausing audits in 2023 due to these issues. Scott's software, DefiTax, pulls data directly from the blockchain, categorizes transactions accurately, and prevents users from manipulating data like dates or amounts. It also offers audit protection, what-if analysis for tax planning, and bookkeeping features for businesses. The hosts discuss past crypto investments, including a Bitcoin mining operation that lost $140,000. Scott advises crypto investors to keep track of all wallet addresses due to chain analysis tools used by government agencies. The episode concludes with a call to action for listeners to check out DefiTax for more accurate reporting.

As heard by us

A focused warning about crypto tax reports that may no longer match the returns they helped produce.

Crypto tax reporting is most useful here when it moves past broad obligation and into the record-keeping problem many holders could actually face.

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Why you'd press play

You own crypto and want to know whether a report you pull now still matches the one you used when you filed.

Read the full recommendation in PlayNext →

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