Argentina carries out crypto wallet seizures linked to tax delinquents
Argentina’s tax authority has seized more than 1,000 cryptocurrency wallets linked to delinquent taxpayers in the country.
According to a report from local media outlet iProUP, courts across Argentina authorized the seizure of 1,269 cryptocurrency wallets belonging to citizens with outstanding debt to Argentina’s Federal Administration of Public Income (AFIP).
AFIP signaled its intent to go after cryptocurrency wallets belonging to tax delinquents in May, ordering cryptocurrency exchanges and payment service providers to deliver monthly reports on users of their platforms.
Crypto services were requested to verify the identity of clients and keep records of user accounts as well as detailed financial statements including income, expenses, and monthly balances.
With these firms supplying this information to the tax authority, AFIP has been able to enforce embargoes on the holdings in wallets linked to errant taxpayers over the past few months.
AFIP’s current standard operating procedure typically targets bank accounts and other liquid assets to recoup debts as the first port of call. If a taxpayer cannot settle their debt or is unbanked, the AFIP will look to seize other assets belonging to the individual.
Argentina’s crypto plans have been put on hold after its central bank stepped in to stop recent offerings from two of the largest financial institutions in the country. https://t.co/3VXpoZ0pSk
The Covid-19 pandemic gave some respite to Argentinians who were in the crosshairs of the AFIP, as a 19-month moratorium on asset seizures was enforced to alleviate financial pressures on citizens.
Related: Argentines turn to Bitcoin amid inflation worries: Report
The move comes as Argentinians continue to adopt cryptocurrency as a means
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