The United States District Court, Northern District of California approved IRS request to execute a John Doe summons to Kraken, demanding they turn over records of all U.S. citizens who used the exchange to conduct transactions totaling $20,000 or more from 2016 to 2020.
Taxpayers that have engaged in cryptocurrency transactions should be aware that the IRS is seeking customer records from cryptocurrency exchanges. DOJ recently filed petitions asking to allow the IRS to serve John Doe summonses on two cryptocurrency exchanges.