An early bitcoin investor, known as “Bitcoin Jesus,” admitted to tax evasion and paid almost US$50 million in unpaid taxes and penalties in a deal with the U.S. Department of Justice (DoJ).
According to a deferred prosecution agreement, Roger Ver — who began acquiring bitcoin in 2011, and then in 2014 renounced his U.S. citizenship and moved to St. Kitts and Nevis — admitted that he did not report all of his bitcoins, or pay the required capital gains tax on those holdings, in his U.S. tax filings.
“Due to his net worth, Ver was required to file certain expatriation-related tax returns and to pay taxes on the capital gains on his worldwide assets, including his bitcoins,” the DoJ said.
Ver admitted that his failure to report capital gains resulted in US$16.9 million in unpaid taxes, and that his conduct was intentional, which meant that he owed the maximum penalty of over US$12 million, plus interest.
The DoJ said that Ver has paid almost US$50 million to resolve the charges, and that the government has moved to dismiss the indictment against him, as a result.