Scan to download
BTC $77,986.92 +4.11%
ETH $2,450.48 +4.53%
BNB $644.21 +2.99%
XRP $1.49 +4.17%
SOL $90.20 +4.11%
TRX $0.3253 -0.12%
DOGE $0.1009 +3.03%
ADA $0.2644 +3.94%
BCH $459.11 +3.88%
LINK $9.77 +3.33%
HYPE $45.42 +1.40%
AAVE $116.74 +5.98%
SUI $1.02 +3.61%
XLM $0.1747 +5.62%
ZEC $344.36 +1.61%
BTC $77,986.92 +4.11%
ETH $2,450.48 +4.53%
BNB $644.21 +2.99%
XRP $1.49 +4.17%
SOL $90.20 +4.11%
TRX $0.3253 -0.12%
DOGE $0.1009 +3.03%
ADA $0.2644 +3.94%
BCH $459.11 +3.88%
LINK $9.77 +3.33%
HYPE $45.42 +1.40%
AAVE $116.74 +5.98%
SUI $1.02 +3.61%
XLM $0.1747 +5.62%
ZEC $344.36 +1.61%

An early Bitcoin investor falsely reported earnings, causing a tax loss of over $550,000 to the IRS, and faces up to 3 years in prison

2024-09-15 10:15:06
Collection

ChainCatcher news, according to Bitcoin.com, the U.S. Department of Justice (DOJ) recently announced that an early Bitcoin investor has admitted to "submitting a false report on his cryptocurrency earnings in his tax return." Texas resident Frank Richard Ahlgren III admitted to underreporting the capital gains from the sale of Bitcoin worth $3.7 million.

According to court documents, Ahlgren purchased 1,366 Bitcoins in 2015, each worth no more than $500. In October 2017, he sold 640 Bitcoins for approximately $3.7 million and used the proceeds to buy a house in Park City, Utah. However, Ahlgren's 2017 tax return incorrectly inflated his cost basis for purchasing Bitcoin, resulting in underreported capital gains. Additionally, he did not report $650,000 in Bitcoin sales in 2018 and 2019.

The Department of Justice stated, "Overall, Ahlgren caused a tax loss to the IRS of over $550,000."

Ahlgren will be sentenced later. He faces a maximum of three years in prison, along with a period of supervised release, restitution, and fines. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors, "the DOJ explained.

app_icon
ChainCatcher Building the Web3 world with innovations.