Circle and Poloniex to share customer data with IRS – Bits Media

The court granted the IRS request to receive Circle and Poloniex customer data from cryptocurrency exchanges, who made transactions with crypto actures worth more than more $20 000 from 2016 by 2020 year.

The Court of Massachusetts satisfied the request of the US tax service (IRS) About the transfer of exchanges Circle and Poloniex data from all customers, who made transactions with cryptocurrencies in the amount $20 000 or more in the period from 2016 by 2020 year. IRS uses such tactics, To get information about persons, which she cannot identify by name.

IRS informed the court, that the data is necessary for the agency to verify tax payment by traders. The regulator counts, that many exchange users have not fulfilled their tax obligations. The IRS said, what a request to Circle does not mean, that the company broke the law. IRS Commissioner Chuck Rettig (Chuck Right) said:

“Actions like this from the IRS tell U.S. taxpayers that, that the Tax Service is working on, so that they comply with the rules for transactions with crypto assets. Such requests for information allow the IRS to identify those, who do not properly report their crypto asset transactions. We will enforce laws in cases of systematic violation or fraud.".

Previously, the US Tax Service similarly demanded information from the Coinbase exchange, who fought the IRS in court for over a year, before eventually complying with the requirement, by transmitting information about transactions to more 13 000 clients. Circle spokesman Josh Hawkins (Josh Hawkins) reported:

"We are reviewing the request and, Of course, We look forward to cooperating with the IRS in response to the court's order.".

Recall, that the Canada Revenue Agency also recently won a legal battle regarding access to customer data of the cryptocurrency exchange Coinsquare. The exchange will transfer the data 5-10% clients to the regulator.