Legal Representation in Digital Currency Matters
If you or your business use cryptocurrency to pay for goods and services, or if you trade cryptocurrency on centralized exchanges outside the United States, it is important to understand your tax reporting obligations concerning digital currency.
At the Law Office of Williams & Associates, P.C., we can analyze your situation to determine the best strategy to reduce or eliminate tax penalties and possible criminal investigation if you are not in compliance regarding your U.S. and foreign transactions related to virtual currency.
What Is Cryptocurrency?
Cryptocurrency is a digital currency that can be stored by using an app on a computer or smartphone, or held in a digital account for use on exchanges. The identity of the currency owner is encrypted, providing a perceived anonymity to the owner.
Due to the secrecy afforded to cryptocurrency users, and the fact that very few taxpayers report virtual currency transactions as required, the IRS has recently announced its focus on virtual currency as part of a new tax enforcement campaign.
If you receive, redeem, transfer or exchange virtual currency, or your business pays employees in virtual currency, you should consult an attorney to make sure you are in compliance with the IRS and other federal agencies.
Contact Us For Cryptocurrency Compliance Strategy Or Defense
Our firm can help you develop a strategy to resolve your digital currency matters. We serve clients in California, throughout the United States and abroad. Contact us today by calling our Sacramento office at (916) 488-8501 or toll-free at (800) 684-7147, or email us.