According to reports, the U.S. Internal Revenue Service (IRS) has launched an action against cryptocurrency investors. The team is called the “hidden operational treasure” and consists of agents trained in the field of cryptocurrency and transaction tracking.
- According to Forbes, Damon Rowe, executive director of the Office of Fraud Enforcement of the Internal Revenue Service, announced a “hidden operational treasure” in a speech by the Federal Bar Association on combating fraud last week. A senior person in the criminal investigation department of the IRS explained that the office has formed a dedicated team of criminal investigation professionals from the IRS to carry out this work.
- The publication conveyed that “Operation Hidden Treasure” is a partnership between the fraud enforcement civil department and the criminal investigation department, aimed at “preventing tax evasion by cryptocurrency owners.”
- The Hidden Treasure Action team consists of agents trained in the field of cryptocurrency and crypto transaction tracking. They focus on taxpayers who omit cryptocurrency income from their tax returns.
- Carolyn Schenck, National Fraud Adviser and Aid Division Adviser at the Office of the Internal Revenue Service’s Cheif Advisers, described the Hidden Treasure Operation as “all about finding, tracing, and attributing cryptocurrency to U.S. taxpayers.”
- Schenk detailed that the Internal Revenue Service (IRS) is working with experts to identify and investigate various “tax evasion signatures.” These signatures may include “structured”, where transactions are set up in increments of less than $10,000 to avoid certain tax filing requirements. It also includes the use of nominees, shell companies, or “getting on and off”.
- The Internal Revenue Service (IRS) and these experts analyzed “blockchain and deanonymization” [cryptocurrency] The publication states that this is to “track, discover and work to seize cryptocurrencies in civil and criminal environments.”
What do you think of the new IRS operation for cryptocurrency investors? Let us know in the comments section below.
Picture Credits: Shutterstock, Pixabay, Wiki Commons
Disclaimer: This article is for reference only. It is not a direct offer or solicitation of an offer, nor is it a recommendation or endorsement of any product, service or company. Bitcoin.com does not provide investment, tax, legal or accounting advice. The company or the author shall not bear any direct or indirect responsibility for any damage or loss caused or allegedly caused by the use or reliance on any content, goods or services mentioned in this article or related thereto.