Zinger Key Points
- U.S. Department of Justice seeks extradition of Ver for charges including mail fraud, tax evasion, and filing false returns.
- Despite renouncing his U.S. citizenship, Ver was legally required to report and pay taxes on capital gains from Bitcoin.
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Roger Ver, a prominent figure in the early days of Bitcoin BTC/USD and known as “Bitcoin Jesus,” has been arrested in Spain and charged with mail fraud, tax evasion, and filing false tax returns.
The U.S. Department of Justice alleges that Ver evaded nearly $50 million in taxes.
According to the indictment, Ver — a former resident of California — allegedly began acquiring significant amounts of Bitcoin for himself and his companies in 2011.
Also Read: Former Binance CEO Changpeng Zhao Sentenced To Four Months In Prison
He later renounced his U.S. citizenship in 2014. That triggered legal obligations to report capital gains and pay an “exit tax” on his assets, including Bitcoin holdings.
The indictment further details how Ver allegedly provided false or misleading information to legal and financial professionals, leading to the filing of significantly undervalued tax returns that concealed the true extent of his Bitcoin holdings.
Ver is also accused of failing to report income from the sale of his companies’ Bitcoin holdings in 2017, further contributing to the alleged tax evasion.
Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department's Tax Division stated, “Ver is alleged to have caused a loss to the IRS of at least $48 million.”
The arrest and charges against Ver highlight the growing focus of U.S. authorities on cracking down on tax evasion within the cryptocurrency space.
As the digital asset industry continues to evolve, regulatory scrutiny and legal frameworks are likely to become increasingly sophisticated.
Discussions surrounding the responsible development and regulation of the digital asset landscape will take center stage at Benzinga’s upcoming Future of Digital Assets event on Nov 19.
This event provides a crucial platform for industry leaders, policymakers, and legal experts to address critical issues like tax implications within the crypto ecosystem.
Read Next: Consensys Alleges SEC Covertly Targeted Ethereum, Sparking Legal Battle
Image by Gerd Altmann from Pixabay
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