One of my cryptocurrencies went through a hard fork followed by an airdrop and I received new cryptocurrency. Do I have income?

If a hard fork is followed by an airdrop and you receive new cryptocurrency, you will have taxable income in the taxable year you receive that cryptocurrency.

  • cryptocurrency, hard fork, airdrop, income
  • 0 Users Found This Useful
Was this answer helpful?

Related Articles

What is Virtual Currency?

Virtual currency is a digital representation of value that functions as a medium of exchange, a...

Tax Consequences

The sale or other exchange of virtual currencies, or the use of virtual currencies to pay for...

How is virtual currency treated for Federal income tax purposes?

Virtual currency is treated as property and general tax principles applicable to property...

What is cryptocurrency?

Cryptocurrency is a type of virtual currency that uses cryptography to secure transactions that...

How do I determine if my gain or loss is a short-term or long-term capital gain or loss?

If you held the virtual currency for one year or less before selling or exchanging the virtual...