The Tel Aviv exchange Bits of Gold agreed to report large customers to the Israeli tax administration. The company will transfer to the tax department information about all traders whose account movements for the 12-month period are 50 thousand dollars or more. This is reported by Bitcoin.com
Bits of Gold agreed to this step after the Israeli tax department conducted an audit of operations in the office of the exchange in search of information about the largest customers.
The Israeli stock exchanges are already obliged to report large transactions to the Israeli Anti-Money Laundering and Terrorist Financing Authority, but the tax authorities were not able to obtain this data so simply because of laws protecting the privacy of citizens. Moreover, according to the publication of Calcalist, the Israeli tax administration has no legal rights to force companies to report their clients without their consent, which is also supported by several judicial precedents.
In addition, according to Israeli media, this agreement with Bits of Gold is just the beginning, as the Israeli tax department now plans to do so that other local companies and exchanges conclude similar agreements. This is not the first initiative of the Israeli tax administration in the crypto-currency area.
In May, it became known that the regional departments of the tax department sent letters to those who, they assumed, traded cryptocurrency, demanding to talk about all their activities on the crypto market, including the entire history of transactions and current savings.