What is Prime Trust reporting to the IRS on behalf of end users?

Prime Trust will be reporting the gross proceeds from all digital assets sales from tax year 2022. Prime Trust has elected to treat all digital assets as non-covered securities. A non-covered security is defined by the SEC as a security in which the cost basis is under a limited scope and may not be reported to the IRS. The cost basis of non-covered securities is only reported to the taxpayer and not the IRS. Prime Trust will not report any cost basis information for digital assets sold in tax year 2022 to the IRS.