Bitcoin exchange Kraken has filed a lawsuit against the US Internal Revenue Service (IRS), which required the platform to provide user data. This is reported Bloomberg.
The company denies the regulator’s right to receive information about transactions with digital assets. Kraken called the IRS demands “an unjustified treasure hunt.”
However, representatives of the department claim that their actions are aimed at identifying tax evaders.
In February 2023, the IRS filed a petition to provide certain customer data to the Kraken exchange. The requirements apply to users with a trading volume of more than $20,000 in 12 months between 2016 and 2020.
In 2017, a similar lawsuit took place between the IRS and Coinbase. Then the tax service also requested information about clients who received a profit in the amount of $ 20,000.
Despite the company’s attempts to challenge the request, the court decided disclose the data of more than 14,000 accounts.
“Many Coinbase users may not have reported their earnings in digital assets, so the interest of the IRS is quite legitimate in this investigation,” the judge said.
Recall that in March, Kraken confirmed the launch of its own bank, despite problems with regulators.
In April, a subsidiary of the exchange received a license in Ireland as a provider of services in the field of virtual assets.
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Bitcoin exchange Kraken has filed a lawsuit against the US Internal Revenue Service (IRS), which required the platform to provide user data. This is reported Bloomberg.
The company denies the regulator’s right to receive information about transactions with digital assets. Kraken called the IRS demands “an unjustified treasure hunt.”
However, representatives of the department claim that their actions are aimed at identifying tax evaders.
In February 2023, the IRS filed a petition to provide certain customer data to the Kraken exchange. The requirements apply to users with a trading volume of more than $20,000 in 12 months between 2016 and 2020.
In 2017, a similar lawsuit took place between the IRS and Coinbase. Then the tax service also requested information about clients who received a profit in the amount of $ 20,000.
Despite the company’s attempts to challenge the request, the court decided disclose the data of more than 14,000 accounts.
“Many Coinbase users may not have reported their earnings in digital assets, so the interest of the IRS is quite legitimate in this investigation,” the judge said.
Recall that in March, Kraken confirmed the launch of its own bank, despite problems with regulators.
In April, a subsidiary of the exchange received a license in Ireland as a provider of services in the field of virtual assets.
Found a mistake in the text? Select it and press CTRL+ENTER
Cryplogger Newsletters: Keep your finger on the pulse of the bitcoin industry!