This year, the IRS decided to make changes to the phrase "virtual currency" on US tax returns. This wording will be replaced by “digital asset”.

All taxpayers must submit the reports to the IRS on any transactions of this instrument type.

In 2021, they had to report to the authorities about transactions with cryptocurrency, which by definition is a unit of account, a means of storage and exchange. According to the IRS, a digital asset is any representation of a digital price on a blockchain. The department also clarifies that it can also be NFT.

The price of such a unique token can reach millions of US dollars. The IRS is hoping for a significant increase in fees from cryptocurrencies when the new tax period begins.