By using this site, you agree to the Privacy Policy and Terms of Use.
Accept

News Junction

Notification Show More
Font ResizerAa
  • Home
  • World News
    World NewsShow More
    Zelenskyy agrees to meet Putin
    Zelenskyy agrees to meet Putin
    May 12, 2025
    Pope Leo calls for end to polarising ‘war of words’ in address to media | World News
    Pope Leo calls for end to polarising ‘war of words’ in address to media | World News
    May 12, 2025
    Assessing Putin and the ‘Axis of Authoritarians’
    Assessing Putin and the ‘Axis of Authoritarians’
    May 12, 2025
    Kurdish PKK to disband, potentially ending decades of conflict in Turkiye | News
    Kurdish PKK to disband, potentially ending decades of conflict in Turkiye | News
    May 12, 2025
    Trump announces gesture of ‘good faith’ by Hamas — RT World News
    Trump announces gesture of ‘good faith’ by Hamas — RT World News
    May 12, 2025
  • Business
    BusinessShow More
    Ukraine blows up bridges to consolidate its positions in Russia
    Ukraine blows up bridges to consolidate its positions in Russia
    August 18, 2024
    Commentary: AI phones from Google and Apple will erode trust in everything
    Commentary: AI phones from Google and Apple will erode trust in everything
    August 18, 2024
    The most famous Indian Dishes – Insights Success
    The most famous Indian Dishes – Insights Success
    August 18, 2024
    Life on the road as a female long rides cyclist
    Life on the road as a female long rides cyclist
    August 18, 2024
    UK inflation rises to 2.2%
    UK inflation rises to 2.2%
    August 18, 2024
  • Cryptocurrency
    CryptocurrencyShow More
    Cardano bulls set eyes on  as institutional adoption grows amid BTC integration
    Cardano bulls set eyes on $1 as institutional adoption grows amid BTC integration
    May 12, 2025
    Sonic Labs Announces M Token Sale to Galaxy for U.S. Expansion
    Sonic Labs Announces $10M Token Sale to Galaxy for U.S. Expansion
    May 12, 2025
    นักวิเคราะห์ลั่นอย่าพลาด Dogecoin จะเด้งแบบพาราโบลาสัปดาห์หน้า!
    นักวิเคราะห์ลั่นอย่าพลาด Dogecoin จะเด้งแบบพาราโบลาสัปดาห์หน้า!
    May 12, 2025
    Zcash (ZEC) Tops Key Supply Zone. What Next for the Privacy-Focused Token?
    Zcash (ZEC) Tops Key Supply Zone. What Next for the Privacy-Focused Token?
    May 12, 2025
    BTC, ETH, XRP, BNB, SOL, ADA, DOGE, PI, LEO, LINK
    BTC, ETH, XRP, BNB, SOL, ADA, DOGE, PI, LEO, LINK
    May 12, 2025
  • Technology
    TechnologyShow More
    How to Improve Your Spotify Recommendations
    How to Improve Your Spotify Recommendations
    August 18, 2024
    X says it’s closing operations in Brazil
    X says it’s closing operations in Brazil
    August 18, 2024
    Supermoon set to rise: Top tips for amateur photographers | Science & Tech News
    Supermoon set to rise: Top tips for amateur photographers | Science & Tech News
    August 18, 2024
    Scientists Want to See Videos of Your Cat for a New Study
    Scientists Want to See Videos of Your Cat for a New Study
    August 18, 2024
    OpenAI’s new voice mode let me talk with my phone, not to it
    OpenAI’s new voice mode let me talk with my phone, not to it
    August 18, 2024
  • Entertainment
  • Sports News
  • People
  • Trend
Reading: US Senators Urge Action Against Tax Evasion
Share
Font ResizerAa

News Junction

  • World News
  • Business
  • Technology
  • Cryptocurrency
  • Trend
  • Entertainment
Search
  • Recent Headlines in Entertainment, World News, and Cryptocurrency – NewsJunction
  • World News
  • Business
  • Cryptocurrency
  • Technology
  • Entertainment
  • Sports News
  • People
  • Trend
Have an existing account? Sign In
Follow US
News Junction > Blog > Cryptocurrency > US Senators Urge Action Against Tax Evasion
US Senators Urge Action Against Tax Evasion
Cryptocurrency

US Senators Urge Action Against Tax Evasion

Published August 3, 2023
Share
4 Min Read
SHARE

Contents
Going After Crypto Tax EvadersIRS Faces Daunting Task Vs. Tax CheatsBiden Supports Tax Evasion Clampdown

According to estimates, crypto brokers are allegedly dodging at least half of their tax duties, leaving the United States with a worrying tax shortfall. Sen. Elizabeth Warren (D-Massachusetts) is leading a group of left-leaning senators who are urging federal officials to take immediate action in response to this problem.

Their main objective is to impose stronger restrictions in order to close the crypto tax gap, which experts estimate to be at least $50 billion.

The 2021 Infrastructure Investment and Jobs Act, which required additional reporting requirements for digital currency trading, has made it urgent to address this issue.

Despite a deadline set by Congress for the end of the current year, the Treasury Department and Internal Revenue Service (IRS) have yet to enact the rules required to enforce these obligations.

Going After Crypto Tax Evaders

Legislators are concerned about this delay because it will give the big cryptocurrency merchants more time to cheat taxes the longer the rules are delayed.

In a letter to federal authorities, senators Warren, Bob Casey (D-Pennsylvania), Richard Blumenthal (D-Connecticut), and Bernie Sanders (I-Vermont) pleaded with them to promptly implement the crypto tax reporting standards.

The letter emphasizes the negative effects of delay and warns that failing to comply with the regulations by December 31, 2023, might result in a loss of tax income of approximately $1.5 billion in 2024.

Given the urgent need to pay several government programs and services, this huge revenue loss would be an unacceptable result.

According to a report by the Joint Committee on Taxation of Congress, the national tax gap—which measures the total amount of taxes due but unpaid each year—is made up of 10 percent of the enormous crypto tax gap.

Total crypto market cap at $1.12 trillion on the daily chart: TradingView.com

IRS Faces Daunting Task Vs. Tax Cheats

The difficulty for the IRS to precisely identify cases of tax avoidance is further exacerbated by the evasive nature of bitcoin transactions and the anonymity provided by the majority of exchanges.

Based on IRS data from 2017, Barclays analysts calculated the $50 billion sum last year. Nevertheless, they think that the real number is probably far higher given the current rise in bitcoin activity.

According to the Treasury Department’s proposed regulations, third-party companies like Coinbase will have to disclose comprehensive information about customers’ cryptocurrency trading, including profits and losses.

These thorough reporting specifications may greatly improve the IRS’s capacity to identify and pursue tax evaders, particularly those involved in extensive crypto trading.

Biden Supports Tax Evasion Clampdown

United States President Joe Biden supports a crackdown on crypto tax evasion while noting the existence of crypto loopholes and the fact that they give wealthy people another way to hide their income.

Sen. Warren’s concerns about money laundering, fraud, and the illegal trade in firearms might be addressed by implementing and enforcing these restrictions, which would also stop many fraudulent practices inside the cryptocurrency business.

The potential economic impact is what makes it urgent to put the proposed rules into action. Rapid action is required to stop further losses in tax income because there are billions of dollars on the line.

Senators Warren, Casey, Blumenthal, and Sanders are adamant that action must be taken immediately since every day that passes permits tax evaders and their cryptocurrency middlemen to take advantage of the system.

Featured image from The Globe and Mail/iStock

#Senators #Urge #Action #Tax #Evasion

TAGGED:actionEvasionSenatorstaxurge
Share This Article
Facebook Twitter Pinterest Whatsapp Whatsapp LinkedIn Email Copy Link Print
Share
What do you think?
Love0
Sad0
Happy0
Sleepy0
Angry0
Dead0
Wink0
Previous Article AI Could Be Very Useful for Breast Cancer Screenings, Study Finds AI Could Be Very Useful for Breast Cancer Screenings, Study Finds
Next Article Ijaz Butt, former Pakistan keeper and PCB chairman, dies at 85 Ijaz Butt, former Pakistan keeper and PCB chairman, dies at 85
- Advertisement -

Latest Post

Cardano bulls set eyes on  as institutional adoption grows amid BTC integration
Cardano bulls set eyes on $1 as institutional adoption grows amid BTC integration
Cryptocurrency
Zelenskyy agrees to meet Putin
Zelenskyy agrees to meet Putin
World News
Sonic Labs Announces M Token Sale to Galaxy for U.S. Expansion
Sonic Labs Announces $10M Token Sale to Galaxy for U.S. Expansion
Cryptocurrency
Pope Leo calls for end to polarising ‘war of words’ in address to media | World News
Pope Leo calls for end to polarising ‘war of words’ in address to media | World News
World News
นักวิเคราะห์ลั่นอย่าพลาด Dogecoin จะเด้งแบบพาราโบลาสัปดาห์หน้า!
นักวิเคราะห์ลั่นอย่าพลาด Dogecoin จะเด้งแบบพาราโบลาสัปดาห์หน้า!
Cryptocurrency
Assessing Putin and the ‘Axis of Authoritarians’
Assessing Putin and the ‘Axis of Authoritarians’
World News
- Advertisement -

You Might Also Like

Stage Raises .4M to Revolutionize the Future of Music
Cryptocurrency

Stage Raises $2.4M to Revolutionize the Future of Music

June 14, 2024
Protocol Village: Crypto Losses From Hacks, Rug Pulls Doubled to 2M in Q2: Immunefi Report
Cryptocurrency

Protocol Village: Crypto Losses From Hacks, Rug Pulls Doubled to $572M in Q2: Immunefi Report

June 28, 2024
US Congress Committee Passes Historic Crypto Bill
Cryptocurrency

US Congress Committee Passes Historic Crypto Bill

July 27, 2023
Bitcoin Crash Erases 25% Of Open Interest, Most In 1.5 Years
Cryptocurrency

Bitcoin Crash Erases 25% Of Open Interest, Most In 1.5 Years

August 19, 2023

About Us

NEWS JUNCTION (NewsJunction.xyz) Your trusted destination for global news. Stay informed with our timely and accurate reporting on diverse topics, including politics, technology, science, entertainment, sports, and more. Count on us for unbiased and reliable updates at your fingertips.

Quick Link

  • About
  • Disclaimer
  • Privacy Policy
  • Terms of Use
  • Contact

Top Categories

  • World News
  • Business
  • Technology
  • Entertainment
  • Cryptocurrency
  • Sports News
  • Trend
  • People

Subscribe

Subscribe to our newsletter to get our newest articles instantly!

    © 2023 News Junction.
    • Blog
    • Advertise
    • Contact
    Welcome Back!

    Sign in to your account

    Username or Email Address
    Password

    Lost your password?