Crypto

The IRS Will Shift its Focus to Users and Operators of Bitcoin ATMs and Kiosks

In a new statement, the IRS confirms it will continue to focus on cryptocurrency activities. Particularly those individuals and companies operating Bitcoin ATMs and Kiosks may see some intervention pretty soon. 

As the IRS continues to target cryptocurrency users, they are doing so in a deliberate manner.

Bitcoin ATMs may Facilitate Tax Evasion

First, they want after traders of Bitcoin and altcoins who might not have reported their taxes properly.

Secondly, they tackle the concept of token airdrops and other proceeds that might fall under their purview.

In the latest turn of events, the agency has confirmed Bitcoin ATMs and kiosks are next on the agenda.

There could be a number of potential tax issues raised by this particular industry, according to an IRS spokesperson. 

No public cases involving Bitcoin ATMs or kiosk have been filed by the agency to date.

Related Post

On paper, these machines may allow for some illicit activities, such as small-scale money laundering.

Additionally, the agency suspects several operators might be operating these machines without having any funds connected to a bank account. 

There are also some questions as to whether all of these machines perform the necessary KYC and AML procedures.

Most of the Bitcoin ATMs and kiosks around the world are located in the US, as it is the most competitive region by far.

As such, both operators and users of these machines could become subject to additional IRS scrutiny in the months ahead. 

Despite this rather aggressive strategy, all of these efforts are designed to make cryptocurrencies more legitimate. 

JP Buntinx

JP Buntinx is a FinTech and Bitcoin enthusiast living in Belgium. His passion for finance and technology made him one of the world's leading freelance Bitcoin writers, and he aims to achieve the same level of respect in the FinTech sector.

Share
Published by
JP Buntinx

Recent Posts

SEC Approves First Spot Chainlink ETF For U.S. Markets

The U.S. Securities and Exchange Commission has approved Bitwise’s spot Chainlink ETF, marking the first…

2 days ago

Rumble And Tether Launch Integrated Self-Custodial Wallet

Rumble and Tether have officially launched the Rumble Wallet, a self-custodial crypto wallet integrated directly…

2 days ago

BNB Chain Sets Fermi Hard Fork For January 14 Upgrade

BNB Chain is preparing to activate its Fermi hard fork on January 14 at 2:30…

2 days ago

Ethereum Ends 2025 As The Financial And Coordination Layer Of The Internet

Ethereum closes 2025 having firmly established itself as the secure foundation for an expanding digital…

3 days ago

Solana Closes 2025 As A Revenue-Driven Blockchain

Solana ends 2025 as one of the few blockchain ecosystems where revenue, assets, and trading…

3 days ago

Morgan Stanley Enters Crypto ETF Race With Bitcoin And Solana Filings

Morgan Stanley has taken a decisive step into the regulated crypto investment market, filing its…

3 days ago