The IRS knows already if you are a crypto trader. This book explains how they will pursue traders and explains a strategy to protect yourself.
This book is a call to action for American crypto traders to correctly report their tax returns.
Why would this book be applicable to you as a crypto trader? Because the IRS is gearing up for a large compliance campaign targeted at crypto traders.
Read More: Avoiding the IRS Crackdown
The IRS Commissioner said in November 2018, “You think the IRS doesn’t know [who the cryptotraders are]? The IRS will have more information about them than you can possibly imagine.”
I’ve written this book to show crypto traders why they need to protect themselves. The book is extensively footnoted.
As an Enrolled Agent with a law degree, I’m experienced in defending taxpayers from the IRS at examinations, audits, and appeals.
Read More: About Enrolled Agent, Clinton Donnelly
The Ebook Contents
- Wealthy People Don’t Hide
- Don’t Panic
- What can you do?
- Why is the IRS cracking down on who American crypto traders are?
- How does the IRS know who the crypto traders are?
- How will the IRS compliance campaign happen?
- Must crypto traders submit anti-money laundering reports?
- Can past returns be corrected to protect against the IRS compliance campaign?
- Why hasn’t the IRS begun the crackdown yet?
- What if I would owe the IRS more money than I have?
- What the NSA Knows
- How does the NSA know about crypto traders?
- No More Hiding
- Blame it all on Ronald Reagan.
- Are you behaving like a criminal?
- IRS prefers assessments instead of audits.
- Why do crypto traders have to report?
- Who is the counterparty?
- Better to Over-Report
- 40% Penalty
- Don’t Submit the Report Late
- Almost No One Filed This Information Return
- Largest compliance campaign ever?
- How I Would Run the Enforcement Campaign
- Identify the Traders
- Determine the Heavy Traders
- Which heavy traders didn’t report the money laundering information return?
- Hire Contractors
- Require Information from Taxpayers
- Assess FBAR Penalties
- Updated Capital Gains Taxed
- Massive Penalties with Little Effort
- Action is Needed
- The work still continues into 2019.
- Lessons Learned
- Six Years
- Wait or Fix?
- Minimum Filing Thresholds
- What is FinCEN 114 FBAR?
- What does the law say about reporting?
- Beware of Spurious Blogger Remarks
- What is the FBAR filing threshold?
- FBAR penalties are high.
- I didn’t have $10,000 in foreign crypto exchanges. Do I have to file an FBAR?
- Unacceptable Excuses
- No Downside to Overreporting
- Penalties for Not Filing
- Difficulties for Crypto Traders Filing Form 8938
- No Downside to Overreporting
- What must be reported on Form 8938?
- What is a specified foreign financial asset?
- What is the minimum filing threshold?
- Special Rule for Married Specified Individuals Filing a Joint Annual Return
- Special Rule for Certain Specified Individuals Living Abroad
- Special Rule for Married Individuals Living Overseas
- Do I have to file a Form 8938 if I didn’t own more than $50,000 in cryptos?
- Have you made a mistake, or are you in trouble with the IRS already?
- Have you made a mistake?
- Do I need tax amnesty?
- What tax amnesty programs are available?
- Do I have to correct my tax return?
- What if you owe money after amending a return?
- A good tax problem solver pays for himself.
- Your Options for Fixing Tax Problems
- A preview of the contents of my other book, 10 Great Steps to a Great Crypto Tax Return
The Price Value of This Book
My passion is to help as many crypto traders as fast as possible.
The steps in this book should keep you from having to hire a tax attorney. Their rates are $225 – $500 per hour. You will find the vast majority of tax attorneys don’t even know the information in this book because they never deal with foreign reporting obligations. That’s how valuable this book is to you.
Remember to follow me on Facebook and Twitter. Thanks for getting the word out to help your fellow traders.
About the Author
Clinton Donnelly is an Enrolled Agent with a law degree specializing in the international laws of financial regulation and taxation. As an Enrolled Agent he is admitted to practice before the IRS to represent taxpayers worldwide which is exactly what he does. He has clients in 47 different countries. In 2018, he helped 97 clients recover over $600,000 back from the IRS.
Many of his clients are cryptocurrency traders around the world. His largest trader did over 120,000 transactions. No situation is too complicated.
He was a tax law advisor to a crypto tax prep firm. He was also a trusted tax adviser to three of the online crypto capital gains tax services and a US exchange.
He is an author of three books and is a sought-after conference speaker for digital nomads, expats, and cryptotraders.
He specializes in preparing tax returns and resolving IRS problems for cryptotraders and Americans abroad or owning foreign assets.
Footnotes show that the I’m quoting authorities and not making stuff up.