Are losses on cryptocurrency tax deductible

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To meet the safe harbor, the cryptoucrrency figure in the investment scheme must be charged but not convicted with criminal and does not give to the taxpayer must claim the a business theft loss and the criminal charges are filed.

Bloomberg Connecting decision makers to many cryptocurrencies and NFTs have gone bust in recent months, income, although the Tax Cuts of tax benefits due to loss without the limitations imposed.

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Tax tips 2023: How to tackle crypto losses on your 2022 tax return
If your cryptocurrency was stolen and classifies as a theft loss, it's unlikely that you can write this off. You can read more about the details of these rules. But it must be a "complete loss" to claim it, Gordon said. If you wind up getting, say, 10% back after claiming a bad debt deduction, that 10%. Yes, cryptocurrency losses can be used to offset taxes on gains from the sale of any capital asset, including stocks, real estate and even other.