Tax evasion

It’s one of the hottest corners of crypto — and now the U.S. government wants its share of the profits.

The Internal Revenue Service is focusing on cryptocurrency tax evasion with virtual currencies like Bitcoin and nonfungible tokens, employing data analytics to uncover transactions that crypto users assumed were hidden.

Individuals have already started receiving requests for information, according to tax attorneys.

The Biden administration is also calling for banks to report on account flows to help boost tax-payment compliance.

Collecting all unpaid income tax from the top 1% would boost revenue to the U.S. Treasury by $175 billion a year.

A group of 25 Democrats in the House wrote to congressional leaders asking them to provide $12.1 billion in funding for the Internal Revenue Service, including $5.2 billion for enforcement, with an eye toward cracking down on high-income tax cheats.

The bank allegedly helped French clients evade taxes.