IRS vs. Coinbase: argument gets more heated

The American Internal Revenue Service is not very pleased with the fact that an overwhelming majority of Coinbase users, being American citizens, do not pay revenue taxes. Years 2013-2015 are reviewed in the hearings, and the financial regulator insists that of 500,000 customers, less than 900 per year are paying taxes. However, we should not forget that many Coinbase users might not be residents of the United States.

Jacqueline Scott Corley, the Magistrate Judge responsible for the case, believes the arguments of the Internal Revenue Service are quite reasonable, according to various media outlets the correspondents of which were on the hearing. “It’s legitimate for them to investigate whether people are making money on their bitcoin purchases and paying taxes on any gains,” told Corley.

While this is an exclusively American story, it’s better to check out your regional media to see what tax services of your country think about cryptocurrency. Is it a money laundering instrument for them or just another payment method? In perspective, this U.S. case can seriously influence the legal trend in other countries as well.