Is Form 8949 gross lower than 1099-DA gross a red flag?
Hi guys, was chatting with a friend about this he put the fear of God in me that having a gross amount from the 8949 form be lower than the 1099-da amount is a major red flag
Some context:
- mid 6 figures on the DA form. This was a usdc to usd sale. Not all of the usdc was earned this year
- low 6 figures on 8949 with millions in volume in defi and trading
So about a 4x difference in the gross for the two calculations
I did everything to the best of my ability and used a CPA, but I didn’t audit every transaction myself as I had thousands and thousands across my wallets. It’s possible that a few chains or wallets were missed.
I’m terrified of being audited because and have been getting severely stressed about this. Given the context and size, should I re-open things with my CPA?