How Does a 1099-DA From a Crypto Exchange Differ From a 1099-B?

02 October 2026

A 1099-DA reports cryptocurrency transactions to the IRS, while a 1099-B reports sales of stocks, bonds, and other traditional securities. The core difference is that the 1099-DA was introduced specifically for digital assets, starting in tax year 2025 (with forms issued in early 2026), because the IRS determined that existing forms did not properly capture the unique nature of crypto transactions - such as transfers between wallets, staking rewards, and hard forks. In contrast, the 1099-B has been used for decades for traditional securities and requires brokers to report cost basis and proceeds for each sale.

Origins and Purpose

The IRS created Form 1099-DA in response to the Infrastructure Investment and Jobs Act of 2021, which expanded broker reporting requirements to include digital asset brokers. The 1099-B, meanwhile, has long been the standard for traditional brokerages like Fidelity or Schwab. The 1099-DA exists solely because crypto transactions often lack the simple "buy" and "sell" structure of stocks. For example, receiving staking rewards or swapping one token for another are taxable events that do not map neatly onto the 1099-B’s fields.

What each form reports

Form 1099-B

• Reports sales of securities where the broker has access to cost basis information
• Includes fields for date acquired, date sold, proceeds, and cost basis
• Usually shows a realized gain or loss per transaction
• Relies on the "first-in, first-out" (FIFO) accounting method unless the taxpayer specifies otherwise

Form 1099-DA

• Reports both sales and other "dispositions" of digital assets, including:
• Sales for fiat currency
• Crypto-to-crypto trades
• Payments made with crypto
• Gifts (above a threshold)
• May include transfers between wallets if the exchange cannot confirm the recipient is the same owner
• Does not always calculate gain or loss, because it may not have the cost basis for assets transferred in from another exchange or wallet
• Often requires the taxpayer to fill in missing cost basis information manually

Key differences in detail

1. cost basis handling

On a 1099-B, the broker typically knows your purchase price and uses it to compute gain or loss. On a 1099-DA, the exchange may not have that information - especially if you deposited crypto from another wallet or exchange. In those cases, Box 1c of the 1099-DA may show "basis not reported" and you must determine the basis from your own records.

2. Reporting of Transfers

A 1099-B never reports a simple transfer of shares between your accounts, because that is not a taxable event. A 1099-DA, however, can report a transfer from an exchange to a private wallet as a "transfer," even if you still own the asset. This happens because the exchange cannot prove the wallet is yours. If you correctly report that transfer as a non-taxable movement, the IRS will expect no gain or loss. But if you fail to report it, the form creates a discrepancy.

3. Categorization of Events

The 1099-B has only one event type: sale. The 1099-DA has multiple transaction codes, such as: - "S" for sale - "T" for trade - "I" for interest or staking income - "G" for gift - "F" for fork or airdrop

These codes help the IRS distinguish between taxable and potentially non-taxable events, but they also mean the taxpayer must verify the code is correct. An exchange might miscode a staking payout as a sale, for example.

4. wash sale rules

For traditional securities, wash sale rules disallow a loss deduction if you buy back the same stock within 30 days of selling it at a loss. The IRS does not currently apply wash sale rules to crypto transactions. As of 2026, the 1099-DA does not compute wash sales, while the 1099-B does. A 1099-DA will not flag a series of sales and repurchases as wash sales, even if the IRS eventually changes the law.

5. Filing Requirements

• 1099-B: Copies go to the IRS and the taxpayer. You generally report the totals on Schedule D of Form 1040.
• 1099-DA: Copies also go to the IRS and the taxpayer. However, the IRS expects you to reconcile the form against your own transaction records - especially if you transferred assets between exchanges. A single crypto transaction may involve multiple 1099-DAs from different brokers if the asset moved through several platforms.

6. Timing of Issuance

Both forms are generally issued by January 31 of the following year. But because crypto exchanges have struggled to implement the new reporting rules, some 1099-DAs have arrived late or contained errors in early tax years. The IRS has indicated it will be more lenient with penalties for late or inaccurate 1099-DAs during the first year, but that is not guaranteed.

What this means for you

• If you only trade stocks, a 1099-B is straightforward. Your broker computed most of the math.
• If you trade crypto, you must cross-check the 1099-DA against your own records. Do not assume the exchange’s cost basis is correct.
• If you transferred crypto between exchanges or wallets, you may receive multiple 1099-DAs with overlapping or incomplete information. You will need a tool like CoinTracker or Koinly to aggregate the data.
• If you received staking rewards, airdrops, or mined coins, the 1099-DA may report those as income. You should have already reported them as ordinary income in the year received; verify that the exchange’s classification matches.

The fundamental difference is that a 1099-B tells the IRS what you did, and the broker confirmed the numbers. A 1099-DA tells the IRS what the exchange thinks you did - and the burden is on you to correct it.

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