10,000 American Cryptocurrency Owners Will Receive Warning Letters From the IRS

destriero said:
I paid taxes on $2.8MM in gains for calendar year 2017. It's a fishing expedition. They are sending them to all cbase users with transaction volume >$20K.
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What I mean by "fishing expedition" is that I was audited in late 2018 and passed the audit. The bulk of the transactions occurred in 2017 and I got the letter. They are sending them to everyone with over $20K in transactions, lifetime.
 
@Sprout, don't run your mouth.

Coinbase was forced by subpoena to divulge all client data with transaction volume exceeding $20K. The letter went out to Coinbase clients meeting that criteria, regardless of whether or not they filed timely.
 
I did not get a letter. I bought bitcoins from Coinbase many years ago, but never sold to Coinbase, yet. Also bought bitcoins from Circle which was a much better place to buy from as they accepted CC with ease. Had I known Circle would stop operations, I'd have loaded up as much I as I could. Localbitcoins was another place I bought bitcoins from.

Bitcoin is anonymous, there are no names to the wallet addresses, but the exchanges are not, so selling a few bitcoins at Coinbase would trigger the $20K threshold, and most likely get the letter in the mail.

Circle (partly owned by Goldman Sachs) bought Poloniex for $400M, recently announced they are moving operations outside of the US. Bittrex and Poloniex were doing KYC since a year or so ago and I stopped using them as my accounts with them were under fake names, so would have to create new accounts with my real name. Binance announced they need to do KYC for US-based IP addresses. Abra an app-based cryptocurrencies wallet and exchange platform is suspending services for all US residents.

I have a long post on the bitcoin price thread on the uncertainties faced by US cryptocurrencies investors/participants. I believe that the US is moving to regulate bitcoin and cryptocurrencies and it's wise for all involved to follow the legal development and to comply. If I get a letter, I'd be meeting with the tax accountant on the next available appointment.
 
destriero said:
Wow, amazing, I spent a Summer in Maine as a kid and I recall a huge tuna on the pier bound for Japan. They were cutting it up with a chain saw. We had a townhouse n Freeport. I love it there as a kid.
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Hehe, imagine catching a fish so big, they consider it a LOG and have to bust out the chainsaw.
 
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