Cryptocurrency holders in the US will be tested

The U.S. Internal Revenue Service (IRS) will send summonses to cryptocurrency users who fail to report and pay tax on cryptocurrency transactions. The option for officials will become possible after the relevant court decision is made. Thus, the IRS obliged the New York-based M.Y. Safra Bank to provide information about those customers who use the bank’s services for cryptocurrency transactions. The institution is currently cooperating with SFOX, a cryptocurrency broker and bitcoin exchange. The IRS executive order concerns 175,000 customers of the company, which has processed cryptocurrency transactions worth more than $ 12 billion since 2015.

The IRS believes that taxpayers do not comply with US tax laws when it comes to digital assets. The U.S. Attorney for the Southern District of New York, Damian Williams, said that the government will use all tools to identify those who evade mandatory payments and fulfill other regulatory obligations in the cryptocurrency sector.

As we can see, the regulatory authorities of the US government are doubly enthusiastic about controlling the cryptocurrency market. Last week, the U.S. Department of Justice announced the creation of a National Cryptocurrency Enforcement Team. The agency will also facilitate the investigation of digital finance crimes.

«As digital assets play an important role in our global financial system, we must work in tandem with departments and government agencies. This way,we can prevent the criminal use of cryptocurrencies and undermine national security,» said US Attorney General Merrick Garland.