How should I factor Devtome income into my tax return?
According to Forbes, cryptocurrency income is taxable!
I just read through that article that you are referencing. There are people pumping out these altcoins with reckless abandon and most are not even featured on exchanges. I would be shocked if any government could even nail down a value on Devcoin for taxing purposes. I think the taxing occurs when you exchange them for Bitcoin and they end up in a bank account as fiat currency. I mean seriously, how can you say that something has real tangiable value if there isn't a single place in the world that will pay you money for them. Bitcoin is a tiger of different stripes, there are many places to turn Bitcoin into fiat currency.
Since Devcoins are being given to us for our work, you simply need to put a cost basis of 0.00 on your tax forms.
~ Ninja edit #2 ~
I could be wrong on this but there is no way any government could say that the exchange sites that we use (such as crypsy) are real exchange sites. They could just as easily be gone tomorrow as they are operating today. The sites themselves might incur tax obligations but seriously, they provide no hard terms, no real security, no real recourse for grievances and most are not licensed money exchangers. They are simply non-entities from a governmental perspective. All trade records on these exchanges are pretty much worthless for filing taxes.
http://www.forbes.com/sites/cameronkeng/2013/12/16/bitcoin-is-not-anonymous-is-always-taxable/~ 2 cents and not tax advice ~
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