A crypto audit is an IRS examination focused on digital asset transactions, typically triggered by mismatches between broker reports and the return, John Doe summons data, or a "no" answer to the digital asset question when the IRS holds contrary records.
The examiner will request wallet addresses, exchange statements, and a full transaction history, often through the Historical Digital Asset Form, and will reconstruct activity with blockchain analytics. Missing basis is treated as zero.
Why it matters: the response is a signed statement and the reconstruction should be done under attorney-client privilege.
Read more: crypto audit defense.
IRS crypto audits and letters, unreported years, theft loss opinions, and returns that survive an audit.
See the practice page →Our tax attorneys handle IRS audits, crypto tax, offshore disclosures, and opinion letters for clients nationwide. Consultations are confidential.
Definitions are general information, not legal advice, and may not reflect the most recent changes in law.
IRS letters, audits, unreported years, returns.
Foreign accounts, expats, offshore disclosure.
Audits, tax debt, criminal exposure, Tax Court.
Written analysis at a stated confidence level.
Asset protection for individuals and businesses; private company deals.
Attorney-reviewed returns and planning.
