Bloomberg Law
Sept. 22, 2022, 10:09 PM

IRS Wins Order For SFOX Customer Data in Cryptocurrency Tax Push

David Voreacos
David Voreacos
Bloomberg News

M.Y. Safra Bank must produce information to the US Internal Revenue Service about customers who may have failed to pay taxes on cryptocurrency transactions through prime dealer SFOX Inc., a US judge ruled Thursday.

The IRS requested the information to determine if taxpayers are reporting crypto profits and losses on their tax returns, according to a statement from Damian Williams, the US attorney for the Southern District of New York.

US District Judge Paul Gardephe in New York granted the summons, which the IRS has used in tax investigations around the world. The US has served similar information demands, ...