Bulgarian authorities have launched a total check of all cryptocurrency exchanges, local media reported. In addition to checking the activities of each trading platform, the National Revenue Agency of the country initiated the identification of all customers of the exchanges.
In the course of the audit, the tax authorities will study the data on trading with digital assets and the specifics of customer service at each crypto-exchange. The agency expressed concern about the growing risks of using cryptocurrency in shadow transactions.
In addition to tax evasion, companies and individuals use bitcoin and altcoins for other types of criminal activity. This is especially relevant for Bulgaria, since only at the end of last year a criminal organization was discovered in the country that held a cryptocurrency of $ 3 million.
Bulgarian officials also use digital assets in their corruption schemes. Law enforcement authorities detained several civil servants who sold passports to foreigners, and accepted Bitcoin as payment.
The tax service will find out whether Bulgarian traders report on their income from operations with digital coins. According to local law, the profit from crypto trading is equal to the receipt of income from the sale of financial assets.
Tax officers intend to force traders to indicate their incomes in annual declarations. Similar measures are already being taken by some other European countries, for example, Denmark.
