The US Internal Revenue Service (IRS) recently announced that the International Tax Law Enforcement Joint Force will crack down on international network tax crimes including the use of cryptocurrencies.
At the same time, tax law enforcement agencies from the United Kingdom, Australia, Canada and the Netherlands will join the IRS and form the Joint Chiefs of Global Tax Enforcement (J5) to prosecute tax crimes. The organization was formed to respond to the call of the Organisation for Economic Co-operation and Development (OECD) to further combat tax crimes.
The representative of the consortium has already met and believes that cryptocurrency has become a worrying area in financial crimes, in a statement, Hans van der Vlist, director of the Dutch Financial Information and Investigation Services, said:
“The J5 is unique in that it comes from business collaborations between five countries, leveraging internationally available data and technology to address issues such as offshore tax crime, cybercrime and cryptocurrency threats to tax administration.”
Canada’s tax bureau chief Johanne Charbonneau also said that J5 is making a “serious commitment” through this international cooperation to combat the growing international tax crimes, including cybercrime through the use of cryptocurrencies.
The details of how J5 will cooperate to combat related tax crimes have not yet been disclosed, but the report states that the latest initiative is expected to be released by the end of 2018.