The Internal Revenue Service in the United States (IRS) is reportedly sending warning letters to cryptocurrency holders again and claiming that they owe taxes on under-reported gains of cryptocurrency holdings. Similar letters were sent to cryptocurrency users last year.
According to a blog post published by cryptocurrency tax service provider, CryptoTrader.tax, the company received several queries related to CP2000 notices.
An IRS issue CP2000 notice is sent to an individual if the agency thinks that there is a difference between the income information IRS has on file and the information a person has reported on tax returns.
The tax experts said that the IRS is mistaken and added that the main problem is that Coinbase and other crypto exchanges use form 1099K to report user data instead of 1099 or 1099B.
In the last couple of days, dozens of individuals received CP2000 from the IRS.
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