The government of Finland has announced the number of citizens who owe taxes from cryptocurrency-related income. The Tax Administration said it has different ways to combine information and identify people who owe taxes from crypto profits, which are now “well over ten times higher than last year.”
Most Finns have not reported income to the country’s tax department from the sale of cryptocurrencies in previous years. According to the source the profits made by Finns from cryptocurrencies this year were well over ten times higher than last year.
The majority of people have previously failed to report their bitcoin-related income, which we have found when we compare the information we collect to the tax information reported…The Tax Administration has extensive access to information, for example, to payment information, and we have different ways to combine information and identify people.
Senior Adviser from the Tax Administration’s Corporate Taxation Unit
Metropolitan.fi detailed that the tax office has been given generous access to bank transfers and other data, which enables identifying people. By matching the transfers it is evident that in the past most citizens have not reported profits made with virtual currencies.
This is not the first time Puiro spoke about identifying undeclared income by Finns. In December of last year, he said the government had been analyzing bitcoin wallets for this purpose.