Facebook Twitter Instagram
    Kinfort
    Facebook Twitter Instagram
    Kinfort
    Home»Business»IRS Wins Order for SFOX Customer Data in Crypto Tax Push
    Business

    IRS Wins Order for SFOX Customer Data in Crypto Tax Push

    adminBy adminSeptember 26, 2022No Comments3 Mins Read
    Facebook Twitter Pinterest LinkedIn Tumblr Email
    Crypto Tax Push
    Crypto Tax Push
    Share
    Facebook Twitter LinkedIn Pinterest Email

    Harper has filed a lawsuit against the IRS in a crypto tax push. The government is trying to collect data from cryptocurrency users to investigate potential tax evasion. It has so far been able to identify ten U.S. taxpayers who used the services of SFOX to transact in crypto. It now wants to collect account and transaction records from these customers to better investigate and prosecute cryptocurrency tax evasion.

    Table of Contents

    • Harper’s lawsuit against the IRS in a crypto tax push
    • IRS seeks account and transaction records from SFOX customers
    • IRS is trying to uncover cryptocurrency tax evasion

    Harper’s lawsuit against the IRS in a crypto tax push

    In August 2019, James Harper received a letter from the IRS accusing him of not reporting his cryptocurrency transactions. The letter was part of an agency push to crack down on potential cryptocurrency tax evasion. Since then, he has filed a lawsuit against the agency, which he says is violating his constitutional rights.

    Harper is a New Hampshire resident and an investor in bitcoin. He also works at Uphold and is studying Austrian Economics. He first discovered Bitcoin in 2011 and has interests in security, open source systems, network effects, and the intersection of economics and cryptography.

    In addition to the tax notice, Harper’s crypto transactions were facilitated by three of the largest cryptocurrency exchanges. He received the IRS letter in August, but he believes that the government obtained his financial records from Coinbase, which seized thousands of his account records in early 2018.

    IRS seeks account and transaction records from SFOX customers

    The Internal Revenue Service has been looking for crypto exchanges that aren’t reporting or filing taxes. One company that is under scrutiny is SFOX. The government has found that investors may be using this exchange to hide money from Uncle Sam. The IRS is seeking the account and transaction records of customers of SFOX.

    According to the IRS press release, the reason for this move is the inherently pseudo-anonymous nature of cryptocurrency transactions. The IRS is relying on this legal concept when it issues John Doe summonses to identify potential tax evaders. However, it isn’t clear whether SFOX is violating any laws. This investigation is a sign of an increasing IRS interest in investigating digital assets.

    The IRS claims that its investigation reveals significant underreporting of crypto transactions. It has issued summonses to other cryptocurrency dealers. It has identified ten taxpayers who used SFOX for cryptocurrency transactions. SFOX connects crypto exchanges, over-the-counter digital asset brokers, and liquidity providers. It has 175,000 registered users. The crypto exchange recently partnered with a local bank to provide its users with cash-deposit accounts. In addition, SFOX customers can use their cash-deposit accounts to buy and sell cryptocurrencies.

    IRS is trying to uncover cryptocurrency tax evasion

    The IRS is currently training its spotlight on cryptocurrency tax evasion, using data analytics to track transactions in real time. The agency has added a question to the 2020 tax form about digital currency use and ownership to help identify evasion cases. It is also aware that some cryptocurrency users are using the currency to launder money. To combat this, the IRS is looking to train tax agents on new digital asset auditing and asset tracing skills.

    The IRS has issued letters to Coinbase and other exchange operators. In addition, the agency has sent a subpoena to Bitstamp, asking it to provide information on a U.S. tax payer. Regardless of whether you are a cryptocurrency investor or a cryptocurrency trader, the IRS will be investigating any transactions you may have made in the crypto currency.

    info news update
    Share. Facebook Twitter Pinterest LinkedIn Tumblr Email
    admin
    • Website

    Related Posts

    Asking for Help at a Shrine ?

    January 4, 2023

    Twitter’s New Video Viewer Is Not Like TikTok

    October 2, 2022

    How to Stand Out in a Business Proposal

    September 27, 2022

    Leave A Reply Cancel Reply

    Facebook Twitter Instagram Pinterest
    © 2023 ThemeSphere. Designed by ThemeSphere.

    Type above and press Enter to search. Press Esc to cancel.

    We use cookies on our website to give you the most relevant experience by remembering your preferences and repeat visits. By clicking “Accept”, you consent to the use of ALL the cookies.
    Do not sell my personal information.
    Cookie SettingsAccept
    Manage consent

    Privacy Overview

    This website uses cookies to improve your experience while you navigate through the website. Out of these, the cookies that are categorized as necessary are stored on your browser as they are essential for the working of basic functionalities of the website. We also use third-party cookies that help us analyze and understand how you use this website. These cookies will be stored in your browser only with your consent. You also have the option to opt-out of these cookies. But opting out of some of these cookies may affect your browsing experience.
    Necessary
    Always Enabled
    Necessary cookies are absolutely essential for the website to function properly. These cookies ensure basic functionalities and security features of the website, anonymously.
    CookieDurationDescription
    cookielawinfo-checkbox-analytics11 monthsThis cookie is set by GDPR Cookie Consent plugin. The cookie is used to store the user consent for the cookies in the category "Analytics".
    cookielawinfo-checkbox-analytics11 monthsThis cookie is set by GDPR Cookie Consent plugin. The cookie is used to store the user consent for the cookies in the category "Analytics".
    cookielawinfo-checkbox-functional11 monthsThe cookie is set by GDPR cookie consent to record the user consent for the cookies in the category "Functional".
    cookielawinfo-checkbox-functional11 monthsThe cookie is set by GDPR cookie consent to record the user consent for the cookies in the category "Functional".
    cookielawinfo-checkbox-necessary11 monthsThis cookie is set by GDPR Cookie Consent plugin. The cookies is used to store the user consent for the cookies in the category "Necessary".
    cookielawinfo-checkbox-necessary11 monthsThis cookie is set by GDPR Cookie Consent plugin. The cookies is used to store the user consent for the cookies in the category "Necessary".
    cookielawinfo-checkbox-others11 monthsThis cookie is set by GDPR Cookie Consent plugin. The cookie is used to store the user consent for the cookies in the category "Other.
    cookielawinfo-checkbox-others11 monthsThis cookie is set by GDPR Cookie Consent plugin. The cookie is used to store the user consent for the cookies in the category "Other.
    cookielawinfo-checkbox-performance11 monthsThis cookie is set by GDPR Cookie Consent plugin. The cookie is used to store the user consent for the cookies in the category "Performance".
    cookielawinfo-checkbox-performance11 monthsThis cookie is set by GDPR Cookie Consent plugin. The cookie is used to store the user consent for the cookies in the category "Performance".
    viewed_cookie_policy11 monthsThe cookie is set by the GDPR Cookie Consent plugin and is used to store whether or not user has consented to the use of cookies. It does not store any personal data.
    viewed_cookie_policy11 monthsThe cookie is set by the GDPR Cookie Consent plugin and is used to store whether or not user has consented to the use of cookies. It does not store any personal data.
    Functional
    Functional cookies help to perform certain functionalities like sharing the content of the website on social media platforms, collect feedbacks, and other third-party features.
    Performance
    Performance cookies are used to understand and analyze the key performance indexes of the website which helps in delivering a better user experience for the visitors.
    Analytics
    Analytical cookies are used to understand how visitors interact with the website. These cookies help provide information on metrics the number of visitors, bounce rate, traffic source, etc.
    Advertisement
    Advertisement cookies are used to provide visitors with relevant ads and marketing campaigns. These cookies track visitors across websites and collect information to provide customized ads.
    Others
    Other uncategorized cookies are those that are being analyzed and have not been classified into a category as yet.
    SAVE & ACCEPT