Just curious about the consensus amongst tax professionals with respect to crypto. The word on the street (or the blockchain as the case may be) is that the IRS is undertaking an enforcement initiative targeting crypto and that a wave of deficiency letters has been sent to audit targets, many of them focused on tax year 2021.
Do you guys think these letters are targeted at people who underreported or whose returns failed to match exchange reporting, or are they just going after anybody who checked the crypto box on their recent returns? I’ve paid my taxes to the best of my knowledge and kept meticulous records, but I’m wondering if I should set aside some money for an “audit defense fund