Coinbase Summons Proper In Income Tax Probe, IRS Says

Law360 (November 19, 2019, 4:11 PM EST) — The IRS has argued its summons on cryptocurrency trading platform Coinbase in an income tax investigation of a Washington state man is legitimate, telling a California federal court that it didn’t already have the information and followed procedures.

William Zietzke has not shown any reason why the summons was issued outside the agency’s authority and should not be enforced, the Internal Revenue Service said in a Friday filing. Instead, Zietzke has vaguely alleged that the agency is trying to develop a database, tracking who has virtual currency accounts, the IRS said.

“By the summons at issue, the IRS seeks information to…

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