Tax Treatment of Virtual Currency (22)


IRS Program Number: YH9W1-T-00120-22-S
CTEC Program Number: 6243-CE-0029
CE Credits: 2 hours
Category: Federal Tax Law
Delivery Type: Online Self-Study
Exam Questions: 10

Course Syllabus

Course Description
Virtual currency use is increasing, and roughly 3 in 10 Americans younger than age 30 indicate they have invested in, traded, or used a virtual currency, such as Bitcoin or Ethereum. As a result, tax preparers are more likely than ever to encounter clients who have engaged in one or more virtual currency transactions during the year and who may have taxable income as a result. Tax Treatment of Virtual Currency briefly discusses the nature of virtual currency, how transactions in virtual currency occur and are recorded, and the tax treatment to which they are subject. This is a basic tax course with no prerequisites, and qualifies for 2 CE credits in the IRS Federal Tax Law category.


Learning Objectives

  • Describe virtual currency;
  • Explain how central bank digital currency (CBDC) is used;
  • Recognize how stablecoins differ from unbacked cryptocurrency;
  • Describe how virtual currency networks maintain security; and
  • Recognize how blockchain is employed with respect to virtual currency transactions.
  • Calculate the adjusted cost basis of virtual currency that is purchased, mined, or received as a gift;
  • Calculate the adjusted cost basis of virtual currency that is Apply existing tax law to transactions involving virtual currency;
  • Describe the tax treatment of virtual currency given as a charitable gift; and
  • Recognize the tax treatment given virtual currency when less than all is sold, exchanged, or otherwise disposed of.

Course Assignments

  • Study each Chapter
  • Answer review questions at the end of each chapter
  • Pass the Final Exam with a score of 70 percent or better

Final Exam and Certification
The final exam consists of 10 multiple-choice questions on the information covered in the course materials. To receive credit for this course, you must click on the Exam below to initiate the exam. A passing score of 70 percent or better will receive course credit and a Certificate of Completion.


Course Materials:

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Course Content