The IRS plans to interview family and friends, search through social media posts, and issue subpoenas to ensure people pay taxes on their Bitcoin, according to a presentation given to the IRS Criminal Investigation division.
IRS special agents are advised to conduct interviews, perform open-source searches, and use electronic surveillance to determine whether a taxpayer transacts in or maintains a balance of Bitcoin, according to the document.
The IRS will pull personally identifiable information and public addresses posted to Facebook, Twitter, and other social media outlets.
For more difficult to obtain information, the presentation suggests obtaining Grand Jury subpoenas for bank, credit card, and PayPal records. The document even recommends interviewing the taxpayer’s friends and family, frequented businesses, and even their bank teller.