Coinbase recently notified approximately 13,000 of its customers that it was turning their information over to the United States. Coinbase has told those affected that it would be providing their taxpayer ID (social security number), name, birth date, address and transaction records from 2013-2015 to the Internal Revenue Service (IRS), by March 16, 2018.
So what should you do if you received one of these letters? Coinbase advises recipients to contact a tax attorney. Sounds good, but also pretty boring.
If you’re feeling up to it, you might also consider first, panicking, and then employing one of a number of “creative” approaches designed to make the problem go away entirely. Here’s a handy guide to a few such ill-conceived approaches, all based on recent Tax prosecutions of Department of Justice (DOJ)