Cryptocurrency Holders: Avoid a Tax Audit!

The recent Coinbase, Inc. case marks the beginning of a new phase in IRS investigations, and U.S. taxpayers should beware that our government is unlikely to relinquish its pursuit of digital currency holders. This won't show. The IRS’s success in identifying and pursuing people with foreign accounts has forever changed...

IRS Focus: Tracking Cryptocurrency

In our recent blogs on the new Internal Revenue Service – Criminal Division (IRS-CI) priorities, we noted that new IRS-CI director John D. Fort has placed his department on high alert for tax fraud involving bitcoin and other digital currencies. Here, we discuss U.S. taxpayer noncompliance and various cryptocurrency tax...

2018 Priorities of the IRS Criminal Investigation Division (IRS-CI):
Part II, Two New Initiatives for Identification and Investigation of Tax Crimes

Despite the reduction in its budget, the IRS Criminal Investigation Division (IRS-CI) has begun to implement two new initiatives that hope to improve the department’s already impressive success rate. Last year, the IRC-CI made 2,251 criminal tax prosecution recommendations, which resulted in a conviction rate that exceeded 90%. On August...

2018 Priorities of the IRS Criminal Investigation Division (IRS-CI):
Part I, Types of Cases

Following his appointment as new Chief of the IRS Criminal Investigation Division (IRS-CI), John D. Fort announced the 2018 priority areas for IRS-CI enforcement. These goals include pursuit of specific areas of suspected taxpayer noncompliance as well as the implementation of new techniques for identification and investigation. In this post,...