TechNews

IRS Forms New Team To Track Down Crypto Tax Evaders

The IRS has formed a 10-person team to work with international crime agencies to track down people who have been evading taxes on their cryptocurrency profits.
The US Internal Revenue Service (IRS) has assembled a team of 10 investigators for international crime investigations as well as for finding tax evaders who use cryptocurrency, Bloomberg reports Thursday, Feb. 8.
Chief of the IRS Criminal Investigation Division Don Fort said that the team will work with international criminal agencies to investigate unlicensed exchanges as well:
“It’s possible to use Bitcoin and other cryptocurrencies in the same fashion as foreign bank accounts to facilitate tax evasion.”
According to Fort, the group’s focus for now is on how crypto users change their fiat currency into crypto.
“We know that you want to get your money out at some point.”
In March 2014, the IRS began issuing guidance for the taxation of cryptocurrency, which they treated as a property that had capital gains or capital loss..