On Sept. 8, the IRS’s felony investigation division signed a $249,900 contract with a blockchain analytics firm to develop its crypto tracing instruments.
The contract supplies restricted info, nevertheless it follows an overarching pattern of the IRS stepping up its sport relating to crypto.
The agency behind the contract, Blockchain Analytics and Tax Software program, is a relative unknown in comparison with acquainted faces in analytics like Chainalysis. The agency’s solely prior authorities contract was for under $9,800 with the U.S. Treasury for serving as an professional witness.
Simply final week the IRS put out a request for submissions for a pilot program to trace cryptocurrency transactions. A workers member on the IRS confirmed to Cointelegraph that this new contract shouldn’t be a response to that request.
Blockchain Analytics and Tax Software program had not responded to Cointelegraph’s request for remark as of press time.
IRS investigative capabilities performed a serious position in a massive seizure of crypto certain for terrorist networks final month.
In the meantime, for extra civilian functions, this year’s tax forms within the U.S. will put the query of whether or not a taxpayer used crypto in 2020 entrance and middle.