Argentina starts seizing crypto wallets linked to tax delinquents and they started with 1000 crypto wallets already so let’s read more today in our cryptocurrency news.

The Argentinian tax avoiders are seeing their crypto wallets seized by the local tax authority with more than 1000 wallets already being seized. As per the reports from local media outlet iProUP, the courts in Argentina authorized the seizure of 1269 crypto wallets belonging to citizens with outstanding debt to the Federal Administration of Public Income.

Argentina starts seizing crypto wallets after AFIP signed its intent to go after the tax delinquents back in May and it even ordered the exchanges and payment service providers to deliver monthly reports on the users of their platforms. The services were requested to verify the identity of the clients and to keep records of user accounts and detailed statements including income, expenses, and monthly balances.

tax, argentina

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With the companies supplying the information to the tax authorities, AFIP was able to enforce embargoes on the holdings in the wallets connected to errant taxpayers over the past few months. The AFIP current standard operating procedure often targets bank accounts and other liquid assets to recoup the debt. If the taxpayer cannot settle the debt or is unbanked, the AFIP will seize other assets belonging to the individual. The COVID pandemic gave some respite to Argentinians that were in the crosshair of the aFIP as a 19-month moratorium on asset seizures was enforced to ease the pressure on citizens.

The move came as Argentinians continued adopting crypto to combat the inflation and the devaluing peso and the general economic malaise. The reports cite data from the American Market Intelligence which noted that Argentina saw an increase in crypto adoption that eclipsed other South American countries that are driven by citizens that are looking for safe haven against the surging inflation. While the tax authority hones in on the digital assets and non-compliant taxpayers, the government and the central bank were at odds over the crypto treatment. President Alberto Fernandez made headlines by outlining the potential for crypto to help battle inflation in 2021 as the central bank president hinted at legislation and regulation of the industry while bringing them closer to the conventional financial system.

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