Digital Nomad
Digital Assets Reporting: What the New 1099-DA Electronic Furnishing Proposal Means for Nomads
A proposed IRS regulation aims to make brokers' digital asset reporting more modern—here’s what digital nomads should know now and over the next year.
By NomadicTax Research Team • 5-8 min read • April 30, 2026
## What’s Being Proposed?
In Internal Revenue Bulletin 2026-13, the IRS published *Notice 2026-4* and proposed regulations (REG-105064-25) that would allow brokers to furnish **Form 1099-DA** statements electronically rather than by paper, subject to customer consent. ([irs.gov](https://www.irs.gov/irb/2026-13_IRB?utm_source=openai))
## Relevance to Digital Nomads and Remote Workers
If you're trading crypto or digital assets while abroad, or across different state lines, these changes could affect when and how you receive required reporting statements. Having data accessible online simplifies cross-border or nomadic situations.
## Tentative Timeline and Effective Dates
These are *proposed regulations*. Public comments are being accepted. No final rules yet—so these are not law, but could be effective possibly for tax year **2027**, once finalized. ([irs.gov](https://www.irs.gov/irb/2026-13_IRB?utm_source=openai))
## Risks and Opportunities
### Opportunities:
- **Speed and accuracy**: Digital delivery can reduce delays in receiving statements, helpful for filing in unfamiliar time zones.
- **Consolidation**: One online portal may reduce clutter from paper statements across multiple brokers.
### Risks:
- **Consent requirement**: You’ll likely need to opt in for electronic statements.
- **Security**: Digital access requires secure login credentials—be cautious abroad or using public networks.
- **Record-keeping**: Even if electronic, the requirement to retain statements for several years remains.
## Action Steps for Nomads
1. **Check your broker’s policy**: Do they offer 1099-DA electronically yet? If yes, find out their procedure.
2. **Opt in early**: When given the option, choose electronic delivery so you are ready if these rules take effect.
3. **Keep backups**: Download and store digital copies in encrypted cloud storage.
4. **Monitor notices**: Look for final regulations in 2026 and adjust your 2027 tax-planning accordingly.
## Example
Alex trades digital assets through multiple brokers, travels through three countries in one year, and files taxes in the US. Under current rules, he may receive bulky paper statements mailed across borders. With the new proposal, his 1099-DA could arrive via email or secure site, simplifying his filings and record-keeping. If he opts in now, he's prepared when the rule becomes final.
## Final Word
While not yet law, the proposed regulations mark a step toward modernization. Digital nomads who stay proactive—electronic consent, secure storage, and awareness—will benefit most when these changes are enacted.