IRS Collecting ‘Millions’ From Crypto Users Amending Tax Returns

March 6, 2020, 8:28 PM

The IRS is collecting “millions” in additional tax from cryptocurrency users who amended their tax returns after receiving agency letters telling them they may be in violation of tax laws, an agency official said.

Letters went out last summer to more than 10,000 cryptocurrency owners who potentially failed to report income and pay taxes on their cryptocurrency transactions. There were three variations of the letters. The most serious—Letter 6173—gave users a very short deadline to respond.

  • The IRS has received “a number” of amended returns as a result of that letter, said Nikole Flax, deputy commissioner ...

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